The Role of Transformational Leadership and Intellectual Capital to Improve Service Quality in Tourism Sector

Abstract

This study examines the relationship between transformational leadership style and intellectual capital in improving service quality within Pakistan's tourism sector, particularly focusing on hotels in Islamabad and Rawalpindi. The research investigates how transformational leadership impacts trust and subsequently affects service quality. The study employs a quantitative approach, using a survey method to collect data from hotels of Rawalpindi and Islamabad. Structural Equation Modeling (SEM) was used to analyze the data and test the hypotheses. Key findings indicate that transformational leadership is significantly associated with both trust and service quality. The results suggest that transformational leaders play a crucial role in developing a trust-based organizational culture, which in turn enhances service quality. This research contributes to the understanding of how leadership styles impact service quality in the tourism sector of developing economies like Pakistan. It provides practical implications for improving service quality in hotels through effective leadership practices.