Gaddafi has ruled Libya for 42 years and sees no reason why this rule should not continue. Contrary to Western media assertions he still has a lot of support amongst his home tribe (near the town of Sirte) and the desert (black African) tribes in the south of Libya (the Fezzan area). .
His army has failed to crush the rebellion, but is still, as yet, undefeated. If Gaddafi can maintain a political or military presence then he (or at least his son Saif) may be able to hang onto same political power, especially if the enemy can be divided and played off against one another. He is determined not to leave the country, especially as that may well mean an appointment in The Hague for war crimes.
Rumor in the Arab world has it that Gaddafi’s son Saif was planning a coup (possibly with the connivance of Gaddafi) at the beginning of March in which Gaddafi would be replaced by Saif, and go into semi-retirement, working on his cause of African unity, whilst Saif took over the reins of power. When pre-empted by the revolt, many of Saif’s co-conspirators fled to Benghazi and formed the basis of the National Transitional Council.