Feasibility Analysis

Chapter 3
 Learning Objectives

 1. Define & explain ‘Feasibility Analysis’

 2. Purpose of product/service feasibility analysis

 3. Purpose of industry/market feasibility analysis

 4. Purpose of organizational feasibility analysis

 5. Importance of financial feasibility analysis

 Feasibility Analysis

 Process of determining the viability of a business idea.

 It is the preliminary evaluation of business idea to determine

if the idea is worth pursuing.
 The proper time to conduct it is early in thinking through
the prospects of a new business, i.e., to screen ideas before
spending resource on them.
 Business Plan is more focused towards planning & selling;
Feasibility Analysis is more focused towards the merits of
proposed business.
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