A viability study is a comprehensive examination aiming to assess the profitability of a business idea. Additionally, it seeks to ascertain the feasibility of transforming the idea into a functioning business entity.
In the field of medicine, a viability study concerning the heart, for instance, endeavors to determine the vitality of the heart muscle. Such a study also aims to evaluate whether the patient requires a revascularization procedure.
This article primarily concentrates on elucidating the significance of the term within the framework of finance or business.
Viability study – is it viable?
The term viability, classified as a non-count noun, denotes the capability or aptitude of something to achieve successful outcomes. This could encompass a proposition, concept, undertaking, or even a strategy aimed at altering a company’s operational practices.
A study on viability endeavors to ascertain the feasibility of a given matter.
Viable
Viability, an adjective, implies the capacity of something to function effectively. When applied to a company, viability suggests its potential to generate consistent profits over consecutive years.
Viable pertains to any entity or circumstance capable of sustained development, progress, advancement, or prosperity.
Viability study vs. feasibility study
The terms “feasibility study” and “analysis” are sometimes used interchangeably by individuals; nevertheless, their meanings differ.
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Feasibility study
A feasibility study involves evaluating the practicality or attainability of a proposed approach or plan. It is an analysis conducted to determine the project’s potential for successful completion.
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Viability study
A feasibility study is a study of a business idea. Specifically, whether the idea is profitable, or profitable. A feasibility study does not consider whether something is feasible, but whether it is worth doing. Express it in a simple way. A feasibility study considers whether something can be done, and a feasibility study considers whether something is worth doing. However, today’s feasibility studies increasingly also include an analysis of the projected profitability of a project or idea.
