Abstract:
This study attempted to identify passengers’ perceptions towards the service quality and
satisfaction gained by bus transportation in Kandy city. Further, the study is based on a
cross-sectional design to gather primary quantitative data through a structured
questionnaire. The study generated a sample of 591 passengers based on the Stratified
random sampling technique. The first step of the analysis is the Exploratory Factor
Analysis to identify the major factors that influence Service Quality in Bus Transportation
in Kandy city. The second step is the Confirmatory Factor Analysis to confirm the
identified major factors from the Exploratory Factor Analysis. Finally, the Structural
Equation Model to identify the relationships between the identified factors in the model.
Results emphasized that the first and second steps identified only four variables out of
five that influence the service quality of bus transportation in Kandy city. The identified
major latent variables are Tangibles, Reliability, Assurance, and Empathy. The study
found that Tangibles, Reliability, Assurance, and Empathy have a significantly positive
impact on the service quality of bus transportation in Kandy city. However, the impact of
Empathy on the service quality of bus transportation in Kandy city is the most crucial
factor in explaining 98%. Further, the study revealed that the service quality in bus
transportation in Kandy city influences 100% on the passengers’ satisfaction. This states
that service quality is the major phenomenon which affects the passengers’ satisfaction in
Kandy city. Finally, the study suggests that bus transportation in Kandy city should focus
more on strategies that enhance service quality to improve passenger satisfaction. These
strategies may include, arriving and departure of the buses at the punctual time,
minimizing the breaking down of buses on the road, employing skilled drivers and polite
conductors, providing an efficient staff service, etc.
Keywords: Passengers’ Satisfaction, Service quality, SERVQUAL Model