There are many decisions that must be made when deciding to participate in the market. In many cases, these choices are made by brands or companies that already exist and have a certain track record. However, sometimes you want to start from scratch or enter an unknown region. It is in these circumstances that we talk about evaluating all possible variables in order to clear up all concerns on the horizon.
Feasibility studies allow entrepreneurs or brands to determine if there are positive and sufficient conditions to undertake a new skirmish in the supply of products and services or to build a new production or sales unit. These are investigations that are usually limited to the business-to-business sphere. Today we share with you four elements that this type of project covers.
Economy. Resources in the broadest sense are one of the questions that we first want to clear up in this type of work. In this area we find characteristics such as imports, exports and, therefore, the apparent consumption of a territory. Here we also find the role of currencies and the reference interest rate policies of the central banks of the countries. Depending on the business plan to be implemented, this will be the depth of this topic.
Competitors. In such an interconnected world, there are no completely free markets. In some part of the world, it is possible that there is already a brand or company that is dedicated to the same thing as your company. In addition, it is necessary to consider indirect competitors in the analysis of participants in the market. They may seem somewhat irrelevant at first, but keep in mind that in the medium term they may turn to look at your same objective.
Environment. Recently, some schools tend to downplay the element of tangible space to evaluate the circumstances surrounding opening a production unit. Here, analysts of the geographic method can be very useful for your purposes. Aspects such as terrain, soil, hydrography, wind regime, climate, rainfall, seismic and/or volcanic risk are listed and summarized to know the threats existing in the surroundings.
Regulation. In each jurisdiction there is a set of rules and laws that must be complied with. This topic can be very complex since there are places where a long series of regulations coexist that govern the participation of entrepreneurs in the very diverse orders of life. There are civil, criminal, labor, tax, environmental, health and other legal frameworks that are well worth knowing at least in an enunciative way and as exhaustively as possible.
There are more components that are included in feasibility research. However, the elements already listed above are found in most products in the field. Given the complexity of these studies, they tend to take longer than other routine market projects. They also require the active participation of the applicants themselves because much of their own data and information must be contrasted with the findings of the documentary review.
At Acertiva we have a team of analysts and strategic allies who put their skills and knowledge at your disposal to meet your requirements. Thanks to our more than two decades of Market Research experience in LATAM, we can be a valuable provider for you. Contact us today to learn how we can make your next success story a reality together.
Short Link: