FEASIILITY ANALYSIS

ENTREPRENEURSHIP DEVELOPMENT
Major Feasibility Concerns
 Technical Feasibility
 Market Feasibility
 Financial Feasibility
 Organizational Capability Analysis
 Competitive Analysis
Technical Feasibility
 Crucial Technical Specifications:
Design, Durability, Reliability, Product Safety, Standardization
 Engineering Requirements:

Machines, Tools, Instruments, Work Flow

 Product Development:

Blueprints, Models, Prototypes

 Product Testing:

Lab Testing, Field Testing

 Plant Location:

Proximity to suppliers, customers

Market Feasibility
 Market Potential:
Identification of Customers, Demographics, Potential
Market share, Potential sales Volume, Sales price
projections
 Market Testing:

Selection of Test, Actual market Test, Analysis of Market

 Market Planning Issues:

Channel of distribution, promotions, packaging, Price

differentiation
Financial Feasibility
 Required Financial resources for:
Fixed Assets, Current assets, Working Capital

Available Financial resources:

Required borrowing, Potential sources for Fund, cost
of borrowing, repayment condition, Operation cost
analysis, Fixed Cost, Variable cost, Projected Cash
Flow, Projected Profitability
Organizational Capability Feasibility

 Personnel requirements:
Required skill level
Managerial Requirement
Determination of Individual responsibility
Potential Organizational development
Competitive analysis
Competitive Analysis
 Existing Competitors
 Reaction of Competitors
 Potential new competitors