MARKET RESEARCH AND FEASIBILITY STUDIES
A business feasibility study is a systematic study to understand whether a specific project, venture, or approach is feasible with an ultimate outcome of a go/no go decision.
Some investments offer excellent returns, and some lose money, thus we help our clients determine early on if the business will yield acceptable returns to prevent them from investing in a business that does not have good survival prospects. Market and feasibility studies are commissioned by prospective business developers and investors who are either just starting or have been in business for years. They engage Golden Fox to provide them with up-to date market information.
We conduct the market assessment to help determine the viability of a proposed product/service in line with the market place. This helps identify opportunities in a market or market segment. If no opportunities are found, there may be no reason to proceed with a feasibility study whereas if opportunities are identified, the market assessment will provide a focus and direction to the construction of business alternatives to investigate in the feasibility study. The feasibility studies conducted by Golden Fox outlines and analyze several alternative or methods of achieving business success. It helps to narrow the scope of the project to identify two or three scenarios or alternatives after which we work with our clients to select the “best” alternative for their situation which becomes the basis for the plan.
Golden Fox conduct feasibility studies are completed with the intent to achieve the following goals for our clients:
- Give focus to the project and outline alternatives
- Narrow business alternatives
- Surface new opportunities through the investigative process
- Identify reasons not to proceed
- Enhance the probability of success by addressing and mitigating factors early on that could affect the project
- Provide quality information for decision making
- Help to increase investment in the company
- Provide documentation that the business venture was thoroughly investigated
Golden Fox typically addresses the following questions whilst preparing a feasibility study:
- Has anyone attempted to embark on this type of project in the past?
- If so, what problems where encountered in the process?
- Where they successful in the venture?
- If so, what kind of positive returns on investment did they realize?
- What are the factors to be considered when deciding if the project, venture or approach is feasible and should move forward?
- Typical factors involving financing, staff resources, material resources, market demand, the competitive landscape, time and space constraints etc.
- Are there likely benchmark hurdles that need to be surpassed?
- What are the business requirements crucial for a successful solution?
- What are the unavoidable market risks or environmental risks and how they can be mitigated?
- What data is available internally and externally and the quality and reliability of this data?
Whether a study’s findings are positive or negative, the feasibility study can help entrepreneurs and managers better understand what aspects of the project are of greatest strategic importance to the success of the venture. If the feasibility study is negative, the findings still may uncover previously unknown market opportunities and can thus help set the stage for some other successful product or service commercialization. If the feasibility study is positive, the findings should provide useful insights and benchmarks for the project as it moves forward in the commercialization process