What is the primary purpose of a feasibility study?

The primary purpose of a feasibility study is to assess the viability and potential success of a proposed project or solution. This foundational analysis is crucial for determining whether a project is worth pursuing based on various factors, such as technical feasibility, economic viability, legal considerations, and operational implications. A feasibility study helps stakeholders understand the likelihood of success before committing significant resources and helps in making informed decisions regarding project initiation or modification.

In contrast, creating a detailed project timeline focuses on scheduling activities and milestones, which is a subsequent step that occurs after a project's feasibility is established. Evaluating team performance and productivity pertains to managing human resources and operational efficiency rather than assessing a project’s viability. Analyzing the competition in the market also addresses a specific aspect of business strategy but does not encompass the comprehensive evaluation of the proposed project itself. Therefore, a feasibility study serves as a critical tool for determining whether a project can be successfully executed, thereby establishing a strong foundation for future planning and execution.