What is the purpose of a feasibility study in project management?

• A. To develop a marketing strategy
• B. To assess the viability of a project before significant resources are invested
• C. To analyze customer satisfaction
• D. To estimate project costs

Answer: (B)

The purpose of a feasibility study in project management is to assess the viability of a project before significant resources are invested. This assessment is critical as it involves evaluating various aspects such as technical feasibility, economic viability, legal and regulatory requirements, operational considerations, and potential risks. By conducting a feasibility study, project managers can identify whether the project is worth pursuing and whether it aligns with the organization's strategic goals.

This process helps in making informed decisions, ensuring that time and resources are not wasted on projects that are unlikely to succeed or deliver value. The feasibility study acts as a safeguard, allowing stakeholders to understand potential challenges and opportunities associated with the project, ultimately leading to more effective planning and execution.