John Paolo M.

Bonifacio

1H4

2018112018

1.

a) Low price provider - A company sells the same product or offers The same service of a
competing company But sells it at a lower cost. It maximizes the efficiency of the production to
lessen or minimize the operational cost. The reduction Of the price may also result To the
consumers Decrease of satisfaction .
b) Product differentiation - A company makes an innovation to their product or service to be
different from the other competing companies. The goal is to have a brand image that would
have a lasting image to the consumers. A strong brand image must have the assurance to the
customers that the company would be consistent to their service or goods. Through the brand
image More customers would be loyal to the business. Having a bad image means putting up
advertisements customer service reputation and a unique logo.
c) Niche market- Means that the company only caters to a specific market . The niche market
market has loyal customers Because they would most likely be the only company offering the
product or service to them. A company Must be able to differentiate themselves from other
companies catering to the same market.

2. Difference between service quality and service value in the hospitality and tourism field.

 Service quality Is meeting the needs and Requirements of the guests. The outcome of our
customers evaluation and compare sis expectations with the service or product he received.
 Customer value is defined as a trade off between total perceived benefits and total perceived
sacrifices. Service value Meaning the price of The service or goods . The value of it Should be
enough To meet the guests requirements. The value should be as the same as the quality of
service they re offering, giving the satisfaction of the guests. Well I know you won't leave the
value should be the same