Abstract. This paper is developed as a means to discover the importance of improving service quality within the Malaysian Hotel Industry. To support that contention it was found that there are a number of methodologies or approaches that can be used to improve service delivery. Recent publications show that there is an emerging methodology sought to improve employee performance and one of the approaches are known as Internal Market Orientation. The Internal Market Orientation model consists of three dimensions and they are: i) Internal Market Intelligence Generation (IMIG), ii) Internal Communication (IC), and iii) Response to Intelligence (RTI). Despite of that this study will only highlight the third dimensions of the framework that is Response to Intelligence. A number of conclusive findings were found and it can be used to enhance employee performance and it is as well has the ability to improving the quality of service towards hotel guests. Notwithstanding, the findings of this study can be used to improve the competitive advantage of Malaysian Hotels and therefore, assisting the country to achieve competitiveness and leads to the creation of premier tourist destination in the world.
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