Innovation Capability and Service Quality in Serena Hotels, Kenya

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Date
2025-10
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Kenyatta University
Abstract
Service quality is the exchange whereby one person, organization, or set of organizations provides output to another; it is a non-ownership benefit. This interaction should be used with the purpose of attaining customer satisfaction. The purpose of this study was toevaluate the role of innovation capability on service quality in Serena Hotels, Kenya.The particular objectives were; to evaluate product innovation effecton service quality in Serena Hotels, Kenya; to analyze the market innovation’s effecton service quality in Serena Hotels, Kenya; and to establish the effect of process innovation on service quality in Serena Hotels, Kenya. The theories anchored on this study were; Servqual Model, Diffusion of Innovation Theory, Institutional theory and Stakeholder Theory of Management. The study adoptedexplanatory research design to analyze population of 590 staff selected from various chains across the country. Primary data was collected using survey questionnaire. To test the validity of the questionnaire, content and construct validity were tested. The analysis was conducted quantitatively using inferential and descriptive statistics, specifically through a linear regression model, to examine the relationship between the variables. The study results revealed an existence of a strong positive correlation linking product innovation and service quality. Study results also revealed that market innovation positively and moderately influenced on service quality. However, study findings an existence of a negative and moderate correlation linking process innovation to service quality. The research suggests that to enhance service quality at Serena Hotels in Kenya, the organization should prioritize greater investment in product innovation. Additionally, it is advised that the company place a stronger emphasis on cultivating robust relationships with its customers. The study further recommends refining administrative procedures and developing forward thinking product innovation strategies to enhance employee expertise and organizational performance.
Description
A Research Project Submitted to the School of Business, Economics and Tourism in Partial Fulfilment of the Requirements for the Award of the Degree of Master of Business Administration of Kenyatta University, October 2025. Supervisor 1. Dr. Godfrey Kinyua
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