The research on service outsourcing and service characteristics: A case study of hotel

Service activities within the hotel industry are divided specifically and professionally. With growing business of the professional service firms, professional knowledge of service suppliers benefits the service outsourcing. And, outsourcing service activities becomes a common business decision. This research presents five case studies of hotel companies when making their service outsourcing decisions. From the view of service characteristics and service supplier firm´s capability, this study try to understand service outsourcing decision-making. Through literature review and case studies, conclusion were draw: The degree of outsourcing will greater when (1) service supplier firm has high capability of customization; (2) service supplier firm has high capability of immediate responsiveness; (3) service activities are more assessable; (4) service suppliers´ goal is more compatible with service organizations.