This academic article aimed to study the concepts and theories related to services, service quality, and competitive advantage of health spa business. The results indicated that service industry management at present requires service quality showing real expertise in business, especially spa business that is facing intense competition in terms of customer responsiveness, customer confidence, attentiveness to customers, image and reliability of health spas, to ensure service business embraces competitive advantage in terms of return on assets, business growth and performance, measured from higher profits from business operations and customer satisfaction.