Optimizing service failure and damage control
| Autor: | Oded Koenigsberg, Eitan Gerstner, Daniel Halbheer, Dennis L. Gärtner |
|---|---|
| Jazyk: | angličtina |
| Rok vydání: | 2018 |
| Předmět: |
Marketing
Damage control Service quality business.industry media_common.quotation_subject 05 social sciences Business studies Profit (economics) Service industries KW 0502 economics and business Damages 050211 marketing Operations management Business BDBA/CEQ 050207 economics Tertiary sector of the economy Reputation media_common |
| ISSN: | 0167-8116 |
| Popis: | Should a provider deliver a reliable service or should it allow for occasional service failures? This paper derives conditions under which randomizing service quality can benefit the provider and society. In addition to cost considerations, heterogeneity in customer damages from service failures allows the provider to generate profit from selling damage prevention services or offering compensation to high-damage customers. This strategy is viable even when reputation counts and markets are competitive. |
| Databáze: | OpenAIRE |
| Externí odkaz: |
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