Final answer:
Policies on the economics of quality hospitality service prioritize patron interaction, feedback, and reputation to ensure repeat business and recommendations. A strong reputation allows firms to charge higher prices due to increased consumer trust, while customer feedback is crucial for service improvement. Internal customer service also plays a vital role in overall business success.
Step-by-step explanation:
The policies on the economics of quality hospitality service, such as having multiple interactions with patrons, listening to patron complaints, sharing feedback with management, and recognizing the contribution of better service to the establishment's popularity and productivity, are fundamentally centered around building a strong reputation. This encourages repeat customers and recommendations, which are vital for business success. A well-regarded firm can command higher prices due to consumer trust established by a positive reputation, as exemplified by a reputable grocery store versus a temporary stand at a farmer's market.
Importance of Reputation
Establishing a good reputation is essential because it alleviates fears among consumers about receiving a poor-quality product or service. This is why there is emphasis on understanding customer needs through multiple interactions, as it helps in assessing moods and requirements, leading to better service provision. Customer feedback is critical in this process, as it provides direct insights into the customer experience, empowering management to make informed improvements.
Internal Customer Service
Even internal customer service, such as presenting oneself professionally to management, can result in positive outcomes for employees and the business. An example provided showcases how proactive measures in response to customer service issues can lead to improved customer satisfaction and operational efficiency at a fast-food restaurant.