What is a common limitation of feasibility analysis?

A common limitation of feasibility analysis lies in its tendency to neglect external environmental factors. Feasibility analysis is primarily focused on assessing the technical, economic, and operational aspects of a project. However, it often does not take into account the broader contextual elements that can impact project success, such as market conditions, regulatory changes, social impacts, and competitive dynamics. These external factors can significantly influence the project's viability but may not be adequately analyzed or considered in a typical feasibility study.

By overlooking these elements, feasibility analysis may yield an incomplete assessment that does not fully capture the potential challenges or obstacles the project may face once implemented. This limitation underscores the need for a holistic approach that integrates both internal capabilities and external conditions when evaluating a project's feasibility.