Quality of Service (QoS) refers to prioritizing network traffic and reserving resources, while Grade of Service (GoS) measures the probability that traffic will be blocked or delayed due to limited network capacity. QoS parameters include packet loss, bit rate, throughput, delay, availability, and jitter. GoS criteria involve blocking probability and delay probability. QoS is implemented through scheduling queues, while GoS is measured by comparing blocked to total calls. Maintaining a low GoS and sufficient network capacity is important to meet demand levels and limit traffic blocking.