Vol. 3, Issue 1, Part E (2017)

Abstract
Service sector has important role in Indian economy. India is the second fastest growing sector after China. The tourism and hospitality sector is among the top 10 sectors in India to attract the highest foreign direct investment (FDI). Tourism in India contributed 7.5% in GDP and third largest foreign exchange earner in India. History of the Indian hotel industry is as old as the history of travel and tourism industry in India. In fact, both are the sides of same coin. India is a place where religious-spiritual ancestors speak “atithi devo bhaav.” Service quality and customer satisfaction is the key factor of success in the recent competitive world. Customer satisfaction, loyalty and retention are very important for all type of organizations. If a firm want to survive in today competitive world then it becomes necessary to provide good service quality to satisfy their customer and retain them with the organization. The main aim of the paper is to find out the impact of service quality on customer satisfaction and future of hotel industry in India. Secondary data is used in the study for data collection. Research is descriptive in nature. The results show that tourism industry is the fast growing industry of India. Hotel industry is the main product of the tourism industry. Service quality plays very important role in customer satisfaction. Customer satisfaction is very important for the growth of any industry.