2. Evaluation Process
I. Asking the right questions
Imitation or innovation and IPR
R&D and Prototype Tests
Initial Sales (trade shows and distributors) and
customer feedback
Simplicity of the concept in terms of understanding
2
3. I. Asking the right questions (continued)
Market Characteristics
Market Research and Advertising
Distribution, Sales Methods, and Transport
Production, Costs and Breakeven point
3
4. Asking the right questions (Continued)
Developments and licensing or Development and sold
away
Human Resources and Financing Issues
4
5. II. Profile Analysis
What are the strategic variables that
shape the ultimate success or failure of
a new venture?
5
6. III. Feasibility Criteria Approach
Is it proprietary?
Are the initial production costs realistic?
Are the initial marketing costs realistic?
Does the product have potential for very
high margins?
6
7. III. Feasibility Criteria Approach (continued)
Is the time required to get to the market and
to reach the break even point realistic?
Is it a growing industry?
7
8. IV. Comprehensive Feasibility Approach
Categories of Feasibility
1. Technical
2. Market
3. Financial
4. Organisational
5. Competitive
8
