Feasibility Study For A Business

2017 Words9 Pages
Undertaking a feasibility study for a start up business or for any project that required investment would not be a waste of effort, even, if eventually the business idea becomes irrelevant. The business feasibility study always explores the potential viability of a business idea for entrepreneurs as an informed process on how to go about the business idea. Ultimately, cost and value of the products or services are often used as criteria to validate the feasibility study activities. Peeters (2013) described business feasibility study as an assessment of the practicality of a proposed business idea, plan or methods. A feasibility study for any business plan or idea always aims to objectively put a business in right frame of operation before…show more content…
In this case, what is analysed is the proposed business idea. o Purpose Analysis: The objectives of this business idea is to set up a viable business that will provide fresh bakery products for the community, provide employment, make profit and gain market share o Strategic Capacity Analysis: This is made up of resources capacity and core competences and these will be discussed under the key resources and customer segment in business model canvas respectively o Product Lifecycle Analysis: The identification of investment in this business idea is worthwhile as a result of research made, for instance, Bakery Info UK (www.bakeryinfo.co.uk, 2013) explained that the revenue made by the bakery firm has passed £12m and sale grew by 19% since the last financial year both in the UK and in the Europe despite the economy turmoil facing the businesses on the continent, which is limiting the extent to which profits could grow o Culture Development Analysis: The culture of healthy living will have an impact on the products that will be produce through this business idea and that is why the business will be focusing on the fresh bakery products • PESTEL Forces: PESTEL is an abbreviation for political, economics, social, technology, environmental and legal. These forces will affect the business idea for instance: o Political and legal: The business will adhere to the rules and regulations from the office of fair
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