Are Office Politics a Market Failure?

My mother can’t keep a job. She works in customer service, in one form or another. She is hard working. She is reliable. She is mature. She’s great with customers. She is not as great with her co-workers.
In theory, a company such as a hotel should be most concerned with employee-customer interaction. In practice, employers are often more concerned with employee-employee interaction. Complain about your co-workers, and you’ll push yourself out. Sales may be an exception, but not always.
But, I started thinking, is that what’s best for the company? I believe in Adam Smith’s invisible hand. It’s the best economic system we’ve found. But, that doesn’t mean it’s perfect. There are market failures.
Maybe office politics represents one of the biggest market failures. Should a company that is hugely dependent on public image push out an employee who presents such a positive image, because they are annoying and grating to deal with?
Or, should employees suck it up and act like adults to retain someone who’s strong at dealing with customers? I think many managers choose their personal feelings over the company’s interests.

And we wonder why customer service often stinks.