The Factors that Affect the Demand for Private University Education in Sri Lanka

Abstract

In Sri Lanka, university entrance is highly competitive with only two percent of students having the opportunity for admission. This situation manipulates a severe competition among students and it gives rise to the establishment of private universities. This establishment creates numerous issues on social and economic aspects. Recently in Sri Lanka, there is an increase in demand on private university degree programs. This study attempts to examine the socio economic factors that can affect the demand for private university education of undergraduates in South Asian Institute of Technology & Medicine and Sri Lankan Institute of Information Technology. This study would help the policy makers to improve the quality of undergraduate education.The sample subjects comprised 150 out of undefined number of undergraduates covering both private and public sector universities in Colombo district and the data were gathered through questionnaires. Contributing elements were identified through extensive review of literature and a preliminary study. Finally an instrument was designed with 29 statements with a 5 point rating scale and open ended questions. Chi-square, Multiple Regression Model, Binary Logistic Regression Model method were utilized to analyze the data. The findings revealed that gender, living sector, parents’ educational level, occupation of parents, ethnicity, A/L Stream, A/L attempt, ability to enter to a state university, degree type, specified area of the degree, place of residence and satisfaction of the degree, have a significant impact on undergraduates’ education. This study concludes the above socio-economic factors have a significant impact on the demand of private university degree programs.