A Study of Service Quality and Customer Satisfaction of Upscale Hotels in Ulaanbaatar, Mongolia

Despite its importance to the Mongolian hotel industry, research on service quality and consumer satisfaction is quite limited. Thus, the purposes of this study were as follow: (1) evaluate the level of perceived service quality and expected service quality; (2) examine differences between perceived service quality and expected service quality; (3) delineate service quality factors from perceived service quality items; and (4) analyze the causal relationship between perceived service quality factors and customer satisfaction of upscale hotels in Ulaanbaatar. Results show that both the levels of perceived quality and expected service quality of upsacle hotels were relatively good. In the analysis of differences between perceived and expected service qualities, just 3 of the proposed 16 service quality items appeared to be statistically different. A factor analysis of the 16 perceived service quality items delineated 3 factors: human service quality, systematic service quality, and physical service quality. Human service quality and physical service quality had significant positive effects on customer satisfaction. Based on these results, marketing implications for upscale hotels to further improve the service quality were suggested.