A feasibility study can be a useful exercise for both existing businesses and startups. Existing businesses that are considering new ventures, acquistions or projects should engage in careful analysis of the potential of these undertakings under various possible scenarios.

For startups the outcome of a feasibility study will have major consequences in terms of their business strategy, and will also reduce the chance of making a bad investment. The fact that various scenarios can be played out before the initial investment is made makes this a very worthwhile exercise.