A feasibility study is like a Avoids costly mistakes –
“reality check” before starting a It identifies problems before
project — it answers the question: you invest time and money.
“Is this idea worth doing, and
Helps decision-making –
can it actually succeed?”
Gives facts so you can
It looks at different angles to see decide whether to proceed
if the project is possible, or not.
profitable, and practical.
Attracts investors –
Main types of feasibility: Shows that you’ve carefully
evaluated the risks and
Technical feasibility – Do we
potential.
have the technology, equipment,
and skills to make it work? Improves planning –
Example: Can a small bakery Guides how to implement
actually produce 500 cakes a day the project efficiently.
with its current ovens?
Reduces risk – Anticipates
Economic/financial feasibility – technical, financial, and
Will it be profitable? Do we have operational challenges.
enough budget?
Example: Will the cost of opening
a café be recovered by sales? Main Parts of a Feasibility
Study:
Legal feasibility – Does it follow
laws, regulations, and permits? 1. Executive Summary – A
Example: Is the location allowed short overview of the
to sell food under local zoning project and main findings.
laws?
2. Project Description –
Operational feasibility – Can Details of what the project
the organization actually run it is, goals, and scope.
day-to-day?
Example: Do we have enough 3. Market Feasibility – Study
trained staff to operate the café? of demand, competition,
and target customers.
Schedule feasibility – Can it be
completed within the needed 4. Technical Feasibility –
timeframe? Equipment, technology, and
Example: Can the café be ready resources needed.
before the tourist season starts? 5. Financial Feasibility –
In short: Costs, revenues, profits,
A feasibility study helps avoid and funding sources.
wasting time and money on ideas 6. Organizational &
that sound good but won’t work in Operational Feasibility –
real life. Staffing, skills, and
Why a Feasibility Study is processes required.
Important:
7. Legal & Regulatory tea, pastries, and
Feasibility – Permits, laws, sandwiches.
and compliance needs.
Unique Selling Point:
8. Schedule Feasibility – Instagrammable interiors
Timeline and milestones for and affordable specialty
completion. drinks.
9. Risk Analysis – Possible
problems and how to
3. Market Feasibility
handle them.
Target Market: 18–35
[Link] &
years old, coffee drinkers,
Recommendations – Final
students, and office
verdict on whether to
workers.
proceed.
Competition: 3 major
here’s a sample feasibility
coffee chains and 2 small
study for opening a small coffee
cafés nearby.
shop, written in a simple format
so you can see all the parts in Demand: Surveys show
action. 75% of respondents would
try a new café if prices are
competitive.
Feasibility Study – “Brew Bliss
Café”
4. Technical Feasibility
1. Executive Summary
Equipment Needed:
Brew Bliss Café is a proposed
Espresso machine, grinder,
small coffee shop in the town
blenders, refrigerators,
center aiming to serve premium
baking oven.
coffee, tea, and pastries. The
study evaluates market demand, Suppliers: Local coffee
technical requirements, financial bean roasters and bakery
outlook, and risks. Results show partners.
high potential profitability within 1
year of operation. Skills Required: Barista
training, customer service
skills.
2. Project Description
Goal: Open a cozy café 5. Financial Feasibility
targeting young
professionals and students. Estimated Startup Cost:
₱800,000 (equipment, rent,
Location: Near a university renovations).
and office buildings.
Monthly Operating Cost:
Products: Espresso-based ₱150,000 (staff salaries,
drinks, brewed coffee, milk utilities, supplies).
Projected Monthly Sales: Economic Downturn:
₱250,000–₱300,000. Adjust pricing and promote
budget-friendly combos.
Break-even Point: 8–10
months. Supply Issues: Have
backup suppliers for coffee
beans and milk.
6. Organizational &
Operational Feasibility
10. Conclusions &
Staff Needed: 1 manager,
Recommendations
2 baristas, 1 cashier, 1
helper. The project is feasible — with
strong market demand,
Hours of Operation: 8 AM
competitive pricing, and strategic
– 10 PM, Monday–Sunday.
location, Brew Bliss Café can
Training: Barista and become profitable within the first
customer service training year. Proceed with planned launch
before launch. and focus on strong marketing
during the first three months.
7. Legal & Regulatory
Feasibility Got it — here’s the general
meaning of each term plus a
Business registration (DTI). neutral example (not tied to
Local business permit and coffee).
health inspection.
Food safety compliance and Statement of the Problem
sanitation certification.
Meaning: Clearly states the main
issue or need the project will
8. Schedule Feasibility address.
Month 1: Secure permits, Example: “Many rural areas lack
finalize suppliers, and hire access to fast and affordable
staff. internet, limiting opportunities for
education and business.”
Month 2: Renovations and
equipment installation.
Month 3: Staff training and Objectives of the Study
soft opening. Meaning: The goals you want to
achieve, both general and
specific.
9. Risk Analysis
Example:
High Competition: Offer
loyalty programs and
unique seasonal drinks.
General Objective: “To evaluate Example in Feasibility: Doing
the effectiveness of a new online interviews or focus groups to
learning platform.” know why people prefer one
product over another.
Specific Objective: “To measure
improvements in student test Mixed-Methods Research
scores after using the platform for
Meaning: Combines both
3 months.”
quantitative and qualitative
approaches.
4. Significance of the Study Example in Feasibility: Using a
survey to measure market
Meaning: Explains who will
demand (quantitative) and
benefit and how they will benefit
interviews to get deeper insights
from the project.
on preferences (qualitative).
Example: “This study will help
teachers adopt better online
teaching strategies, benefiting In feasibility studies, mixed
students and improving learning methods are common — because
outcomes.” you often need numbers
(financial data, market size) and
opinions (customer preferences)
5. Scope and Delimitation to make a complete decision.
Meaning: Defines what is
included (scope) and excluded
(delimitation) in the study.
Example:
Scope: “Covers public high
schools in Manila.”
Delimitation: “Does not include
private schools or universities.”
1. Quantitative Research
Meaning: Uses numbers,
measurements, and statistical
analysis to gather data.
Qualitative Research
Meaning: Uses non-numerical
data to understand opinions,
motivations, and behaviors.