Theoretical Introduction of Service Recovery and the Discussion of Its Strategical Significance

No matter how excellent an enterprise is, service failure is inevitable. When the service failure occurs, a timely and effective service recovery can enhance customers' satisfaction and loyalty. Therefore, to reduce the impact of the potential service failure, a proactive design should be carried out by the service provider. Based on the related theory researches, this paper discusses the overall and long-term effects of the service recovery from a strategic perspective on enhancing the service quality, improving the service system, maintaining the customer relations and achieving the long-term profit and so on.