The research is descriptive and co-

The research is descriptive and co-relational in its nature and employs combination of quantitative and qualitative in its approach. The underlying research question around which this research does resolves is to ascertain prevalent level of service quality of PIA as perceived by its passengers and its influence on perceived competitiveness. The research is based on this assumption that service quality results in to enhance degree of competitiveness. In other words this relationship constructs that the perceived airline service quality influences the competitiveness. Basing on the construct PIA service performance is used to measure airline service quality. Passengers were asked to evaluate and describe the level of quality of various services, along the spectrum of PIA value chain as they have experienced in their flight journey. A questionnaire to this effect was prepared by instruments developed by Cronin and Taylor’s (1992) “SERVPERF instrument” and SERVQUAL of service quality (Parasuraman et. al, 1985).