INTRODUCTION TO

FEASIBILITY
STUDY
PRESENTED BY: GREEMS A. GALVE
Learning Objectives:
At the end of the discussion, the students are
expected to:
 Define what is feasibility study;
 Know the benefits of feasibility study; and
 Explain the importance of feasibility study.
 FEASIBILITY STUDY
 A feasibility study is an assessment of the practicality of a proposed plan or project.
A feasibility study analyzes the viability of a project to determine whether the project
or venture is likely to succeed. The study is also designed to identify potential issues
and problems that could arise while pursuing the project.
 A feasibility study involves detailed exploration of the alternatives for an event and
documenting each of the potential solutions to a particular opportunity or problem.
 A feasibility study enables an event manager to build up on the information acquired
from the client, test the various ideas for an event and see if any ideas.
TYPES OF FEASIBILITY STUDY :

1.ECONOMIC
FEASIBILTY
2.MARKET FEASIBILITY
 ECONOMIC FEASIBILITY
 Economic feasibility is a cost-benefit analysis that examines whether all the
required inputs and contracts are in place for the business to be operational,
and whether the resulting benefits and impacts are significant.
 Economic feasibility refers to the assessment of whether a project or
investment is financially viable and can generate a positive return. It
involves analyzing the economic aspects of the project, such as the net
present value (NPV), internal rate of return (IRR), payback period (PP), and
return on investment (ROI).
 EXAMPLE
An example of an economic feasibility assessment
would be a company considering launching a new
product line. The company would conduct an analysis
to determine the costs of developing and producing the
new products, as well as the projected revenue from
sales.
 MARKET FEASIBILITY
Market feasibility is a study that identifies the
success of a product in a particular market. It
helps to identify the potential markets, market
competition, potential development in the
market, and market analysis to evaluate the
business idea.
 EXAMPLE
For instance, a market feasibility
study for the restaurant might
analyze the demand for similar
cuisine.
 FINANCIAL FEASIBILITY
Financial feasibility describes whether or not your
project is fiscally viable. A financial feasibility report
includes a cost/benefit analysis of the project. It also
forecasts an expected return on investment (ROI), as
well as outlines any financial risks.
 EXAMPLE
Imagine a small restaurant owner considering
expanding their business by opening a second location.
To determine financial feasibility, they would need to
analyze factors such as startup costs, operating
expenses, expected revenue, and market demand.
 BENEFITS OF FEASIBILITY STUDY:

It helps in identifying the risks of failure.

It assists event managers in decision making
regarding event planning and execution.
It provides support evidence for recommendations,
and demonstrates the strengths and weakness of the
event concept.
 BENEFITS OF FEASIBILITY STUDY:

Allows for better, more informed decisions on the

event concept related to logistics, finances,
resources, marketing, human resource planning and
management.
Helps to reduce the event project planning time, as it
shows a clear path an event should follow.
 IMPORTANCE OF FEASIBILITY
STUDY:
 The importance of a feasibility study is based on
organizational desire to “get it right” before committing
resources, time, or budget. A feasibility study might uncover
new ideas that could completely change a project scope.
 Conducting a feasibility study is always beneficial to the
project as it gives you and other stakeholders a clear picture
of the proposed project.