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Essay / Research Paper Abstract
A 10 page analysis of Bhote's new theories on how American business can achieve long lasting success. Bhote's book argues against the popular notion that if a company adheres to high quality standards, sales will take care of themselves and says that this contains an inherent fallacy-- namely, that customer satisfaction is not the same thing as customer loyalty. No additional sources cited.
Page Count:
10 pages (~225 words per page)
File: D0_90bhote.rtf
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Unformatted sample text from the term paper:
27). As Keki Bhote points out in Beyond Customer Satisfaction to Customer Loyalty, the popular notion that if a company adheres to high quality standards, sales will take care
of themselves has an inherent fallacy--namely, that customer satisfaction is not the same thing as customer loyalty. This fallacy has been overlooked by a great deal by US firms.
The point of this book is that even a perfect quality score?zero defects?is not enough to insure financial success without the "twin imperatives of maximum customers satisfaction/loyalty and respectable profits
for the company" (26). In the other words, the pursuit of quality for its own sake simply doesnt work because it leaves the customer out of the equation and places
the emphasis entirely on the product. Bhote states that in the 70-year-long history of quality control, US manufacturing has followed a tendency of going from fad to fad whenever
a new philosophy pointed the way to the "promised land" of increased profits (27). Bhote offers a brief rundown of the fads that have prevailed in the last several decades.
It in the 1950s, American industry was fascinated with sampling plans. The next decade saw a veritable hoopla over the zero defects movement. The 1970s were the first time that
US industry copied the Japanese as they became entranced by the lure of quality circles. The eighties saw US manufacturers instituting statistical process control and control charts, and?of course?the1990s have
concentrated on TQM or Total Quality Management (Bhote 27). The disillusionment with TQM has been progressing in the last several years as the experience of Florida Power and Light
becomes more common. The problem with this utility was that the employees were constantly updating scores of quality charts while the customers complained about poor service and blackouts (27).
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