Initial data for the development of feasibility studies and business plans
Adoption of any significant investment decision in the current or new business is always accompanied by a comprehensive analysis of the external environment.
The basis of the initial information for feasibility studies and business plans is the analysis of the sales market, which is an important part of the business plan: if at this stage an error is made, the financial losses can be enormous.
Experience shows that the failure of most failed commercial projects over time was due precisely to a weak market study, primarily with an inadequate estimate of the achievable sales volume and price level.
In case a feasibility study or business plan is for investors, special attention is given to describing risks and building an anti-risk program.
A clear description and understanding of the target market, the various initial data provided, help the feasibility study and business plan developers to adequately determine the expected revenues and costs.
Our core advantages
• The accumulated experience in preparation of initial information for feasibility studies and business plans for various commodity markets, as well as analysis of the success of their implementation allows us to provide the most useful information, to make weighted and justified estimates and forecasts.
The initial data for feasibility studies and business plans, depending on the characteristics of the market and the project, may include:
I. Estimation of the necessity (usefulness) of the project's products
II. The need for the products of the project and its sales prospects
III. Segmentation of demand and the situation in each segment
IV. Influence of substitute products on the project product market and vice versa
V. Availability of the produced production by key raw materials
VI. The main / target consumers of the project's products, their requirements
and the conditions for the transition to a new producer
VII. Estimation of demand prospects (including export opportunities)
VIII. Current and forecasted value of products
IX. Current and forecasted valuation of market capacity
X. Geography of the target market, assessment of the need for export
XI. Competitive analysis (competitors, areas of competition, factors - product properties, qualifications, indirect costs, quality, durability, operational characteristics, ease of maintenance, brand, price, distribution, etc.)
XII. Barriers to enter the market (volume of investments, technologies, etc.)
XIII. Competitive advantages and disadvantages of the project's products
XIV. Ascertaining the financial stability of competitors
XV. Marketing strategy: promotion activities;
XVI. "Sensitivity" to the scope of the project - how the cost of production decreases with the growth of production and sales of products;
XVII. Strategic partnership with other companies for development, promotion and joint sale of goods;
XVIII. Plans for the development of existing and possible emergence of new competitors
XIX. Estimating the achievable sales volumes and determining the price of selling the project's products for calculating the payback of the project