Service Innovation in Hospitality Industry

Page 1 of 56

Service Innovation in Hospitality Industry

By | March 2012
Page 1 of 56
Business and Economics

Hong Xing

Service Innovation in Hotel Industry
Case Study of InfoQuest

Service Science E-level thesis

Date/Term: Supervisor: Lars Haglund Erik Sundströ m Examiner: Serial Number:

Karlstads universitet 651 88 Karlstad Tfn 054-700 10 00 Fax 054-700 14 60 Information@kau.se www.kau.se

Abstract of dissertation

Being developed for centuries, Hotel Industry has been in its maturity period for a long time. Confronted with fierce competition and the current global economic crisis, it becomes a hot topic in Hotel Industry how to maintain and raise revenues. By shifting focus from „Goods-Dominant Logic‟ to „Service-Dominant Logic‟, Service Science presents a new perspective on value creation and service experience. In this new perspective, value is co-created by various roles, experienced and evaluated by customers. However, the problem is how to implement theories in a specific industry. Focusing on hotel industry, this paper aims to illustrate how service evolves with the development of technology and theory based on the case study of InfoQuest, which is an IT company mainly providing SaberKnot. InfoQuest redefines several economic roles (hotels, IT system provider, local businesses and customers) and relationships among them (from a linear model to a netlike model) where it injects Hotel Industry with new vitality. Both competitive advantages and potential problems that might arise from the service innovation are subsequently discussed. At last, a further analysis is made on the China market in order to show the possibility of that business entering into China.

I

Acknowledgements

Acknowledgements are given to all the people who supported me with the dissertation. First, I am deeply indebted to my supervisors Mr. Lars Haglund and Mr. Erik Sundströ for their m, stimulating suggestions and helpful cooperation in the time of writing this dissertation. I should also express my gratitude to InfoQuest where I worked...