Assessing the Feasibility of Business Propositions
It is becoming increasingly important that producers are given the appropriate tools to succeed in value-adding initiatives as they are encourage to embark on these initiatives. This document presents a generic process for conducting effective feasibility studies. The objective is twofold: (1) help entrepreneurs assess feasibility reports to ensure that the pertinent questions have been adequately addressed; and (2) provide consultants with a tool to help them deliver more effective service to their clients. The generic framework presented in this document may, thus, be used as a guide to conducting and evaluating feasibility studies for value-adding business propositions.
Feasibility assessment is the disciplined and documented process of thinking through an idea from its logical beginning to its logical end to determine its practical viability potential, given the realities of the environment in which it is going to be implemented. While feasibility studies are conducted for engineering, educational, and other program initiatives, our discussion in this document is limited to the feasibility of business initiatives. In that vein, feasibility studies help entrepreneurs to decide if their business idea can be viable given its domain conditions.