Definition Feasibility Study. Description.
A Feasibility Study is a preliminary analysis of a
proposed business idea, plan, project or strategy to to provide an overview
of the primary related issues and to determine whether it is viable strategically,
financially and operationally. It may or may not also include an analysis
of potential scenarios and a recommendation on the best solution to use.
It provides a lot of information necessary for a business
plan. Because putting together a business plan is a significant investment
of time and money, it makes sense to ensure first that there are no major
roadblocks facing the business idea before that investment is made. Identifying
roadblocks is the primary purpose of a feasibility study.
These studies typically look at a number of areas:
They should not go in too much depth, but should contain a
basic analysis only.
Feasibility Studies Special Interest Group
Cost-Benefit Analysis |
| Industry Attractiveness
Organization | Decision
Tree | Opportunity
Cost | Required
Return | RAPID Approach
| Marketing Mix |
PEST Analysis |
SWOT Analysis |
Mind Mapping |
Theory of Constraints
| Total Cost of Ownership |
Net Present Value |
Discounted Cash Flow (DCF) |
Free Cash Flow |
Payback Period |
Garbage Can Model