Date of Publication


Document Type

Master's Thesis

Degree Name

Master of Business Administration

Subject Categories



Ramon V. Del Rosario College of Business


Business Management

Thesis Adviser

Ma. Ngina Teresa Chan-Gonzaga

Defense Panel Chair

Dennis L. Berino

Defense Panel Member

Carmelita C. Clerigo
Edsel F. Tupaz


The present PUJs as seen in the streets have gone a long way from being an improvisation, conversion or modification of the Willys Jeep that the American G.I. disposed of, gave away, or sold to enterprising local Filipinos right after World War II. From an early post-war topless form, it has later evolved into a roofed transportation with its body extended towards the back to accommodate more passengers. Even after the supplies of the Willys Jeep had ran out, the creation and production of PUJs continued with the use of surplus engines, chassis, transmissions and other automotive parts. Combining the skills of the mechanics, molders, lateros, electricians, benders, upholsterers, sticker and airbrush artists, the present jeepneys have lived on until today. PUJs which have evolved to become the most popular mode of transportation in the Philippines and catering to majority of the riding public throughout the country albeit addressing the need for cheap and ready transportation, nonetheless causes numerous externalities involving environmental and road safety concerns on account of its obsolete character. Thus the primary objective of this study is to determine whether the roadworthiness of PUJs as determined by the LTO Motor Vehicle Inspection System is sufficient to ensure that the stated externalities are minimized, if not avoided.

It is submitted by the researcher that the registration of PUJs, upon compliance with the roadworthiness standards, fails to consider the safety and environmental effects of an old vehicle which poses higher risks of mechanical failure and greater smoke emissions. As such, it is proposed that a service life policy be imposed on PUJs to limit their use to a specific number of years from its initial operation.

In validating the above submissions, the researcher looked into the basic structure of the vehicle and the effects of its prolonged use on the rate of fuel consumption, the extent of exhaust emissions, and the safety of the vehicle for the prevention of road accidents. Upon a consideration of said factors, the researcher concludes that an age increment of the vehicle results in an increase in the negative externalities of its use – greater fuel consumption, greater exhaust emission, and greater propensity to be involved in road accidents. Hence there is a strong need to regulate the service life of PUJs.

Albeit it is admitted that there is no mechanical basis to impose a service life for PUJs on account of its replaceable parts and the financial capability on the part of the operators who recover their investments in at most 3 years to replace their units with brand new or more serviceable units, it is nonetheless still possible to limit the service life of PUJs.

The business of common carriers is imbued with public interest. Thus it is within the authority of the State to regulate the business. This authority is extant from the nature of the franchise granted to common carriers which is a mere privilege and not a property right. From a determination of the manufacturing schedule of engine models, and the time when such models have ceased to be manufactured, a service life may be imposed by limiting the use of the engines only up to such time when they are still being manufactured and the parts still available in the market. This proposal has in view the prevention of the resort to a fabrication of replacement parts which poses risks in the operation of the vehicle.

Other recommendations for the purpose of further mitigating the externalities sought to be addressed by this study are likewise made.

Abstract Format






Electronic File Format


Accession Number


Shelf Location

Archives, The Learning Commons, 12F, Henry Sy Sr. Hall

Physical Description

1 computer optical disc, 4 3/4 in.


Jeep automobile—Safety measures; Transportation and state—Philippines; Transportation—Philippines—Safety measure

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