ISSUES IN ESTABLISHMENT OF AN ADVANCE CAB (TAXI) SYSTEM IN ISLAMABAD

ISSUES IN ESTABLISHMENT OF AN ADVANCE CAB (TAXI) SYSTEM IN ISLAMABAD

Group-A

Ammad-u-DinMuhammad Waseem SajjadDur-e-SameenQazi Azhar Ahmad Shehzad Lone

Table of ContentIntroductionProblem statement Literature reviewResearch design & questionsData CollectionMethodologies

Table of ContentFrequency Distribution + summary of Data + Reliability + T-test + Correlation Conclusion and recommendationReferencesThanks and Questions

IntroductionTravelling in a city like Islamabad without ones own vehicle is a misery. Moving across distant sectors of the Capital, except for a few that are connected via Metro Bus Service, is more than a trouble.Very limited public transport available across the City is pathetic and uncomfortable.Only alternate available in such a scenario is Taxi or cab.

Introduction

Taxi system in Capital is poorly managed. Taxis are in vulnerable conditions with zero comfort.The 1970s FX model, devoid of Air conditioner, worn-out seats and no meter to charge fairly is a norm of a local Taxi.

Cab Driver and a passenger

IntroductionCertain private firms like Metro Radio Cab, White cab and Call a Cab in particular parts of city are less successful.None of Uber like app-based taxi system is available even in Islamabad.At governmental level, no as such policy exists in Pakistan to regulate this sector. Fare determination is also one of the major problems.

Problem statement

Islamabad has been unable to establish an advance cab (Taxi) system

Literature Review Actual cities are oversaturated, on one hand most of the population is concentrated in large cities (in 2030 more than 80% (UNFPA 2007) of the population will live in urban areas), and on the other hand mobility needs of the modern population are growing continuously. Well planned, efficiently operated, and cost-effective transportation system management (TSM) strategies can improve mobility of existing systems for transportation users.

Literature Review The taxi-cab sector is a more convenient mode due to its speediness, door-to-door attribute, privacy, comfort, long-time operation and lack of parking fees.From the early 70s many studies have been published in relation to the taxi sector. Douglas (1972) developed the first taxi model in an aggregated way, using economic relationships from other sectors (goods and services).

Literature Review

The Radio cabs business has emerged as one of the fastest growing businesses in the developing countries transportation sector but in Pakistan the scenario is totally different.

Research Design

HypothesisAn advance cab (taxi) system can be established in Islamabad by creating awareness, enacting laws and resolving issues in fare determination of cabs.

Theoretical frameworkThe theoretical framework of the research is composed of the identification of different variables and the relationship among them.Variable and their relationshipindependent Variable Dependent VariablesLack of awareness Advance cab systemFare DeterminationLack of Legislation/Policy

Variables

Research Design

Research QuestionsWhat issues exist in designing and implementing advance cab system in Islamabad? How is the lack of awareness affecting implementation of advance cab system in Islamabad?

What are the obstacles in fare determination of cabs in the Federal Capital?What legal complexities exist in way of designing and implementing advance cab system in Islamabad?

Unit of Analysis & Time Horizon Taxi Driver in Islamabad Cross- sectional

Sample Technique and sizeNon probability convenience sampling technique will be employed. Stakeholders for this study are taxi drivers of Federal Capital, Islamabad.Sample size is 50.

Data Collection

METHODOLOGY Data collected from the responses of major stakeholders related to the issue of research i.e. cab drivers has been presented. The main data-gathering instrument used for this study was the questionnaire.. Analysis is carried out on Statistical Package for Social Sciences Software (SPSS) and different tests are applied to data.

To check the internal consistency of data gathered, reliability test is applied. To seek the relationship between two variables Bivariate Correlations test is applied. T-tests are also applied to data to judge its significance value. Results indicate that value of Significance (2-tailed) is around 0.000 illustrating that data is significant.

Difficulties in data collectionWholehearted input of all stakeholders was hard to find.Most respondents were not interested in taking time out to fill up questionnaires.Language was a serious obstacle in communication. A fear of unknown exists in poor taxi drivers.Awareness about advance cab systems running in developed world is very limited.

Frequency DistributionParticipantFrequencyPercentValid PercentCumulative PercentValidTaxi Drivers50100100100Total50100100

Summary of the participant

DV-Advance Cab SystemSUMMARY OF ACS1:

Islamabad has an advance cab systemFrequencyPercentValid PercentCumulative PercentValidNot Sure1020.020.020.0Disagree1224.024.044.0Strongly Disagree2856.056.0100.0Total50100.0100.0

DV-Advance Cab SystemEducational constraint is an obstacle in

designing advance system in IslamabadFrequencyPercentValid PercentCumulative PercentValidStrongly Agree612.012.012.0Agree2244.044.056.0Not Sure1428.028.084.0Disagree816.016.0100.0Total50100.0100.0

SUMMARY OF ACS2

DV-Advance Cab SystemUse of cab system specific applications is

common in the CapitalFrequencyPercentValid PercentCumulative PercentValidNot Sure918.018.018.0Disagree2550.050.068.0Strongly Disagree1632.032.0100.0Total50100.0100.0

SUMMARY OF ACS3

3G & 4G has provided an opportunity for an advance cab FrequencyPercentValid PercentCumulative PercentValidStrongly Agree1122.022.022.0Agree2346.046.068.0Not Sure714.014.082.0Disagree612.012.094.0Strongly Disagree36.06.0100.0Total50100.0100.0

SUMMARY OF ACS4

DV-Advance Cab SystemA regulatory authority oversees cabs in IslamabadFrequencyPercentValid PercentCumulative PercentValidAgree3060.060.060.0Not Sure1428.028.088.0Disagree612.012.0100.0Total50100.0100.0

SUMMARY OF ACS4

IV- AWARNESS

IV- AWARNESS I have a phone with touch screen/paidFrequencyPercentValid PercentCumulative PercentValidYes1836.036.036.0No3264.064.0100.0Total50100.0100.0

SUMMARY OF AWS1

IV- AWARNESS I can use modern mobile apps(Facebook, What Sapp)FrequencyPercentValid PercentCumulative PercentValidYes1530.030.030.0No3570.070.0100.0Total50100.0100.0

SUMMARY OF AWS2

IV- AWARNESS I know how to use 3G/4GFrequencyPercentValid PercentCumulative PercentValidYes1836.036.036.0No3264.064.0100.0Total50100.0100.0

SUMMARY OF AWS3

Summary of Awareness I have an e-mail addressFrequencyPercentValid PercentCumulative PercentValidYes918.018.018.0No4182.082.0100.0Total50100.0100.0

SUMMARY OF AWS4

IV- Fare Determination

Price per KM is uniform from taxi to taxiFrequencyPercentValid PercentCumulative PercentValidStrongly Agree24.04.04.0Agree1428.028.032.0Not Sure24.04.036.0Disagree2040.040.076.0Strongly Disagree1224.024.0100.0Total50100.0100.0

SUMMARY OF FD1

IV- AWARNESS Govt. policy on prices of taxi fare exists in IslamabadFrequencyPercentValid PercentCumulative PercentValidStrongly Agree918.018.018.0Agree2040.040.058.0Not Sure1326.026.084.0Disagree714.014.098.0Strongly Disagree12.02.0100.0Total50100.0100.0

SUMMARY OF FD2

IV- AWARNESS There exists a Karaia Nama in every taxFrequencyPercentValid PercentCumulative PercentValidAgree612.012.012.0Disagree2754.054.066.0Strongly Disagree1734.034.0100.0Total50100.0100.0

SUMMARY OF FD4

IV- AWARNESS Fare meters are easily available in the marketFrequencyPercentValid PercentCumulative PercentValidAgree36.06.06.0Not Sure918.018.024.0Disagree3162.062.086.0Strongly Disagree714.014.0100.0Total50100.0100.0

SUMMARY OF FD5

IV- AWARNESS Meters are affordable to taxi ownersFrequencyPercentValid PercentCumulative PercentValidAgree510.010.010.0Not Sure1326.026.036.0Disagree2652.052.088.0Strongly Disagree612.012.0100.0Total50100.0100.0

SUMMARY OF FD6

SUMMARY OF FD8

Installation of meter will improve taxi systemFrequencyPercentValid PercentCumulative PercentValidStrongly Agree510.010.010.0Agree1530.030.040.0Not Sure918.018.058.0Disagree1632.032.090.0Strongly Disagree510.010.0100.0Total50100.0100.0

IV- AWARNESS

IV- Lack of legislation/policy

IV- Lack of legislation/policy Islamabad administration has a proper cab

management systemFrequencyPercentValid PercentCumulative PercentValidAgree816.016.016.0Not Sure1632.032.048.0Disagree1938.038.086.0Strongly Disagree714.014.0100.0Total50100.0100.0

SUMMARY OF LOL1

IV- Lack of legislation/policy There exist criteria for vehicles to be use a taxiFrequencyPercentValid PercentCumulative PercentValidAgree714.014.014.0Not Sure714.014.028.0Disagree3366.066.094.0Strongly Disagree36.06.0100.0Total50100.0100.0

SUMMARY OF LOL2

IV- Lack of legislation/policy Only five year old vehicle should be used as taxisFrequencyPercentValid PercentCumulative PercentValidStrongly Agree510.010.010.0Agree1020.020.030.0Not Sure612.012.042.0Disagree1938.038.080.0Strongly Disagree1020.020.0100.0Total50100.0100.0

SUMMARY OF LOL3

IV- Lack of legislation/policy There should be a security camera in every cabFrequencyPercentValid PercentCumulative PercentValidStrongly Agree1122.022.022.0Agree2346.046.068.0Not Sure24.04.072.0Disagree1020.020.092.0Strongly Disagree48.08.0100.0Total50100.0100.0

SUMMARY OF LOL4

SUMMARY OF LOL5Name/Mobile number of taxi driver

should be at display in taxiFrequencyPercentValid PercentCumulative PercentValidStrongly Agree1326.026.026.0Agree1734.034.060.0Not Sure24.04.064.0Disagree1734.034.098.0Strongly Disagree12.02.0100.0Total50100.0100.0

IV- Lack of legislation/policy

Reliability

Reliability

Case Processing SummaryN%CasesValid50100.0Excludeda0.0Total50100.0a. List wise deletion based on all variables in the procedure.

IV-AWARENESS

Reliability StatisticsCronbach's AlphaNo. of Items.9384

DV- ADVANCE CAB SYSTEM

Reliability StatisticsCronbach's AlphaNo. of Items.9445

IV- FARE DETERMINATION

Reliability StatisticsCronbach's AlphaNo. of Items.9648

IV- LACK OF LEGISLATION/POLICY

Reliability StatisticsCronbach's AlphaNo. of Items.9545

T- TEST

T-TEST ALL VARIABLES

One-Sample TestTest Value = 0 tDfSig. (2-tailed)Mean Difference95% Confidence Interval of the DifferenceLowerUpperAdvance Cab System24.44449.0002.716002.49272.9393Awareness28.65249.0001.700001.58081.8192Fare Derermination25.78149.0003.052502.81463.2904Lack Of Policy19.38349.0002.844002.54913.1389

T-TEST FOR ADVANCE CAB SYSTEM- DV One-Sample TestTest Value = 0.5 tDfSig. (2-tailed)Mean Difference95% Confidence Interval of the DifferenceLowerUpperIslamabad has an advance cab system34.03149.0003.860003.63214.0879Educational constraint is an obstacle in designing advance system in Islamabad15.40449.0001.980001.72172.2383Use of cab system specific applications is common in the Capital13.58549.0001.380001.17591.58413G and 4G technology has provided an opportunity for designing of an advance cab system11.45449.0001.840001.51722.1628A regulatory authority oversees cabs in Islamabad20.20849.0002.020001.81912.2209

T-TEST FOR AWARENESS- IV One-Sample TestTest Value = 0.5 tdfSig. (2-tailed)Mean Difference95% Confidence Interval of the DifferenceLowerUpperI have a phone with touch screen/paid16.62549.0001.140001.00221.2778I can use modern mobile apps(Facebook, WhatsApp)18.33049.0001.200001.06841.3316I know how to use 3G/4G16.62549.0001.140001.00221.2778I have an e-mail address24.05149.0001.320001.20971.4303

T-TEST FOR FARE DETERMINATION- IV One-Sample TestTest Value = 0.5 tDfSig. (2-tailed)Mean Difference95% Confidence Interval of the DifferenceLowerUpperPrice per KM is uniform from taxi to taxi17.09349.0003.020002.66493.3751Govt. policy on prices of taxi fare exists in Islamabad13.41649.0001.920001.63242.2076Fluctuation in fuel prices leads to change in price of taxi fare11.53849.0001.20000.99101.4090There exists a Karaia Nama in every tax28.00049.0003.6000003.341633.85837Fare meters are easily available in the market31.98249.0003.340003.13013.5499Meters are affordable to taxi owners27.13849.0003.160002.92603.3940Meter installation helps in fare determination18.99149.0001.660001.48431.8357Installation of meter will improve taxi system14.80549.0002.520002.17802.8620

T-TEST FOR LACK OF LEGISLATION/POLICY- IV One-Sample TestTest Value = 0.5 tdfSig. (2-tailed)Mean Difference95% Confidence Interval of the DifferenceLowerUpperIslamabad administration has a proper cab management system22.77849.0003.000002.73533.2647There exist criteria for vehicles to be use a taxi16.39849.0001.860001.63212.0879Only five year old vehicle should be used as taxis15.76349.0002.880002.51283.2472There should be a security camera in every cab10.95549.0001.960001.60052.3195Name/Mobile number of taxi driver should be at display in taxi11.28649.0002.020001.66032.3797

CORRELATION

CorrelationsAdvance Cab SystemAwarenessFare DeterminationLack Of PolicyAdvance Cab SystemPearson Correlation1.792**.970**.988**Sig. (2-tailed).000.000.000N50505050AwarenessPearson Correlation.792**1.861**.800**Sig. (2-tailed).000.000.000N50505050Fare determinationPearson Correlation.970**.861**1.975**Sig. (2-tailed).000.000.000N50505050Lack Of PolicyPearson Correlation.988**.800**.975**1Sig. (2-tailed).000.000.000N50505050**. Correlation is significant at the 0.01 level (2-tailed).

CONCLUSIONS AND RECOMMENDATIONS

CONCLUSIONS AND RECOMMENDATIONS

First and foremost step in solving a problem is to identify that there is one.The issues highlighted in this study are the pre-conditions required for designing, at first stage, and implementing an advance cab system in the Federal Capital.Without considering these issues and addressing them all-together, no system can be effective.

Prominent findings of the study are as follows

Currently, the Capital has a pathetic cab system in it.Internal conditions of taxis are not much different from their apparent outlook.Most of the cab drivers are illiterate or at primary level of education. They are unable to use modern information 3G & 4G technology seems useless in this situation. Poor drivers neither can afford nor able to use these complex things.

Prominent findings of the study are as followsMoney lies at heart of any problem as well as its solution. Agreement on a fare is next to impossible. Legal cover, regulatory bodies, fare determination instruments, government level policies are just missing. Contrary to culture of developed nations, the most senior vehicles and aged cars are used as cabs here.

RECOMMENDATIONSTake care of education; it will take care of society. Awareness campaigns should be launched in the capital.Enact laws, Provide legal cover and support to this sector to develop. A regulatory body is required to oversee this industry. Constitute one. Utilize 3G with full potential for business oriented purposes rather only for FB.Introduction of taxi apps like uber and smart cabs etc.

Define a proper mechanism for fare determination in cabs. Fare meter installation may be suitable option. A cab management system should be launched in the city with a proper regulatory mechanism. Strick policy regarding life span of vehicles should be formulated and implemented.Security concerns should be kept in mind.

Reference Arnott R. (1996). Taxi Travel Should Be Subsidized. Journal of Urban Economics 40, 316 333.Beesley M. E. (1973). Regulation of taxis, Royal economic society, The economic journal, Vol. 83, No. 329 (Mar., 1973), pp. 150 - 172.Beesley M. E. And Glaister S. (1983). Information for regulating: the case of taxis. Royal economic society, The economic journal, Vol. 93, No.371, pp. 594 615.Cairns R. D., Liston-Heyes C. (1996), Competition and regulation in the taxi industry, Journal of Public Economics 59, 1 15.Cascetta E. and Cantarella G. E. (1991), A Day-to-day and Within-Day Dynamic Stochastic Assignment Model, Transportation Research A, vol 25, pp 277 291.CENIT. http://www.slideshare.net/SunstoneBusinessSchool/radio-cabs-industry-in-india-case-study-sunstonebusiness-school.