Service Failure

The paper aims to give insights into customers' perceptions and response regarding service failure and recovery. It focttses on tmderstanding of specific recovery strategy to be allocated for the particular loss (.service faihire). The paper is empirical and involves data from 150 respondents from India. The sampling unit is employees of health care, banking and personal care service sector. The data collection instrument is a structured, non-disguised questionnaire. The study

profit.^'. So the business houses should also give much weightage for retention of customers, as it gives in acquiring new clients.

Many researchers'*" have identified the gap models

to understand the factors which affect to service quality and

may lead to service failures. Researchers have given due

importance to understanding and implementation of service

recovery process. It has been found that customer's

perception for the service recovery option has great effect on

his satisfaction loyal and trust."*' ''° Service recovery builds

strong relation due to creation of understanding between the

two. Involvement of trust and relationship development

eventually enhances the risk taking of the customer with the

provider. Thus, in the world of globalization and increased

competition, where the customer is king, it becomes utmost

need to understand the failure situations and develop service

Service failure

Service failures occur when the services do not live up to the customer's expectancy. This is phenomenon which is governed by expectancy and percievance of the customer.'"' '*° The failure may occur in both process and outcome of the service." Parasuraman et a l " suggested SERVIQUAL model to identify the gaps which lead