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Q: What is the importance of viability study?
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Differentiate between a Feasibility study and a viability study?

The difference between feasibility study and a viability study is in what they determine. Feasibility study looks at the practicability of the business while viability studies look at how well a business can stand risks and survive.


What is a viability study?

A Viability study is an in depth investigation of the profitability of the business idea to be converted into a business enterprise. A viability study may contain feasibility-, recommendation- or Evaluation report. http://en.wikipedia.org/wiki/Viability_study


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A feasibility study's main goal is to assess the economic viability of the proposed business. The feasibility study needs to answer the question: "Does the idea make economic sense?" The study should provide a thorough analysis of the business opportunity, including a look at all the possible roadblocks that may stand in the way of the cooperative's success. The outcome of the feasibility study will indicate whether or not to proceed with the proposed venture. If the results of the feasibility study are positive, then the cooperative can proceed to develop a business plan


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