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What drives growth and profitability in a service business? Highly satisfied customers. And to keep those customers profitable, you need to manage all the aspects of your operation that affect customer satisfaction - what the authors call the service-profit chain. Here's how the service-profit chain works: Employee satisfaction soars when you enhance internal service quality. Employee satisfaction in turn fuels employee loyalty, which raises employee productivity. Higher productivity means greater external service value for customer - which enhances customer satisfaction and loyalty.
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