Entrepreneurship: Feasibility Study

These flashcards cover key concepts related to feasibility studies in entrepreneurship, including definitions, importance, analytical frameworks, data types, and business models.

Feasibility Study

An in-depth analysis of situational factors faced by a prospective business entity to minimize risk and ensure success.

Importance of Feasibility Study

Helps determine the actual need for a product/service, identifies target customers, competitors, and aspects of running a business.

Market Feasibility

Analysis of the market in terms of size, composition, taste, attitudes, preferences, demand, and consumer income.

Technical Feasibility

Analysis of the skills, equipment, and technical know-how required to carry out a business.

Operational Feasibility

Assessment of how the business will operate, including securing supplies and staffing.

Financial Feasibility

Analysis of the financial needs of the business and options for obtaining financing.

Business Model

The framework that determines the feasibility of a business, developed through research and feedback.

Business Model Canvas

A strategic management tool with nine building blocks to assess and develop a business model.

Primary Data

Data obtained firsthand through methods such as observation, surveys, and focus groups.

Secondary Data

Previously collected data accessed for use in a current study.

QUESTIONNAIRE DESIGN

Careful design of a questionnaire to ensure relevant questions are included and properly sequenced.

Closed-ended Questions

Questions with pre-specified responses allowing respondents to choose from given answers.

Open-ended Questions

Questions that allow respondents to provide answers in their own words.

Competitor Analysis

Evaluates current competitors, their resources, and potential responses to a new venture.

Competitive Advantage

A benefit that exists when a firm's product/service is perceived as superior to competitors.

Market Research Elements

Includes target population, sample selection, objectives, methodology, findings, analysis, and conclusions.