ABSTRACT

The competitiveness of the restaurant industry has increased substantially over the years. Excellence in service requires the creation and development of a competitive service strategy that is central to maintaining service quality. Differentiation is the act of designing a set of meaningful differences to distinguish the company’s offerings from competitors’ offering. Service quality is a multidimensional concept consists of five quality dimensions: reliability, responsiveness, assurance, empathy, and intangibility. These service quality dimensions serve as the basis for consumers to measure the quality of the service. Reliability consists of the ability to perform the promised service dependably and accurately. The service operation design is standardized to ensure high level of efficiency in food production. Cost leadership companies provide assurance of the standardization of the service process, and quality of product. Main cost drivers that enhance reliability and reassurance are standardization of service process and the use of customer service.