Feasibility study
It is a study carried out by the owner of an idea for a new project to ascertain the extent of the project’s applicability and success. It is a detailed look at the profitability of this project idea. It determines whether the idea can be turned into a business.
The importance of the feasibility study
Through it, you can evaluate whether the project plan will succeed or not, and it helps you develop a plan and define your goals and ideas, and it will help you know the steps that must be taken to meet your needs. It helps you see the picture in a larger and more comprehensive way.
What are the types of feasibility study?
- Technical feasibility
- Feasibility
- Legal feasibility
- Operational feasibility
- Technological feasibility study
How to prepare a feasibility study to start your new project?
- How to conduct a technical feasibility study:
- Determine production volume and production capacity
- Determine the project location
- Internal project planning
- Determine project needs
How to conduct a market feasibility study:
- Collect and analyze information and study the market
- Study competitors
- Forecasting demand volume
- Predicting the size of the market gap
- Determine the marketing method
Legal feasibility study:
- The legal feasibility study is concerned with all investment laws, tax and financial laws, wages, and all other laws that may hinder the success of the project.
- How to conduct an economic feasibility study:
- Develop a detailed plan for the project idea
- Identify project risks
- Project cost calculation
The feasibility study will help you determine whether the project or plan you want to start is suitable and you can succeed in it, or whether it faces some risks, so it will help you confront and resolve those risks, or whether the project will not be completed due to the difficulty of sustaining it.