Higher educational institutions are striving to gain a competitive advantage over their rivals in today's competitive environment. The aim of the study is to investigate the impact of perceived service quality on the dimensions of teaching excellence, quality of academic programs, faculty involvement, and institutional environment on higher educational institution image, and the mediating effect of student satisfaction. This study used a simple random sample of 436 respondents from the Pakistani higher educational institutions. The PLS-SEM regression analysis revealed a significant positive effect of perceived service quality on student satisfaction and the image of higher education institutions. Similarly, the results also depict a significant positive effect of student satisfaction on higher education institution image. The results of the model from the Macro Process indicate that student satisfaction mediates the relationship between perceived service quality and higher education institutions' image. The findings of the study suggest that the dimensions studied could be used as the strategy to attract local and international students as well as to improve student satisfaction which might be resulting in a better institution image. High quality of education in Pakistan HEIs and building a positive image can lead to attract students from cross borders for higher education.