Feasibility Analysis Student’s Name Course Institution Professor Date Coming up with a feasible idea for a business startup is the easiest part, but successfully implementing the business idea is challenging. A lucrative business startup calls for more than just a feasible idea; once the idea has been formulated, the next step is running it through clear feasibility analysis. Running a business idea through a feasibility analysis is critical. It will help the entrepreneur understand the industry and estimate the financial, technological, and human resources needed for a successful launch. A feasibility analysis is an open chance for the entrepreneur to ask himself or herself tough questions on whether the originally conceived idea needs to be refocused, modified, or changed dramatically. It is also an investigative tool that gives the entrepreneur a larger picture of the overall sales, profit, and market of the business proposition. My business idea, in this case, is that of a black-owned hair store that specializes in skin and natural hair products. The name of the store will be Natural Hair Goals; the business will be located in Huntsville, Alabama. Industry and market feasibility Industry and Market feasibility Presently, skin and hair products have become indispensable products in the modern lifestyle. For a long time, women have been directly associated with the cosmetic industry; however, the narrative is swiftly changing, and more men are increasingly using beauty products as well. The global cosmetics industry was valued at $410.5 billion in 2020 and is projected to reach $470.5 billion by 2028. In addition to the intensified growth, manufacturers are now changing their marketing and branding strategies to accelerate sales across the globe. The U.S. cosmetics market size is the largest across the world, with an approximate revenue of 90.6 billion U.S. dollars (Singh, Pandey & Vishwakarma, 2020). Since the cosmetics industry is all about a journey of exploration, there is no limit to what is install for the industry. Market trends such as Natural beauty products, Skincare, DIY products, eCommerce, and Scalp care are expected to intensify the cosmetics industry even further. This presents a great opportunity for beauty euthenics and entrepreneurs as a whole. Product or service feasibility During the initial planning stage, I carried out extensive research on the kind of products and services I will provide, and I found them feasible. Personally, I am an individual who strongly believes in natural beauty; this has inspired me to provide natural hair and skin products for my customers. I will fetch all my beauty products from certified natural cosmetic manufacturers within and outside the country. All my employees at Natural Hair Goal will be cosmetic professionals who will have a diverse mind on satisfying customer needs using natural hair and skin products. The business will also offer skincare routines for different customers since people have different types of skin (Desam & Al-Rajab, 2021). Since Natural Hair Goal targets all segments, all our products will be pocket-friendly for all customers who are looking forward to looking classy and beautiful. Financial feasibility I choose to price my products and services using the cost-plus pricing. The reason why I have chosen this type of pricing is because of its simplicity. Since my business's target audience is both middle-class and low-income earners, all my products will be pocket-friendly. I believe that this target group is the best option for my business to maximize profits and also to build a strong market brand (Barusman, Yuliana & Mirfazli, 2020). I will also utilize the price skimming strategy in setting prices for some of my products. Although my business will solely specialize in natural products, it does not mean that my market competitors do not have some of the natural products I will be having. For this reason, I will use the skimming strategy to set relatively higher prices on some of the common natural products in the market. Entrepreneurial readiness There are no guarantees for anyone to be a successful entrepreneur, as there is no way of entirely eliminating some of the risks associated with starting a new business. It takes a bold person with a focused commitment and certain skills to successfully start and run the business. As for me, I always knew that I was the entrepreneurial type, and starting up a new business was not my calling. This was not until I started this course, I feel empowered and skilled with the right expertise to successfully start and run any business that I set my mind on. Does the business idea need to be modified, changed significantly, or abandoned ? Based on the above discussion and my implementation plans, I strongly believe that my business idea is fine. My business location is tactical, and all that is remaining is for me to find a strategic mall for my business. I plan on locating my business on an accessible highway with plenty of foot traffic. Returning customers, in this case, are the most important elements in my business since they are evident proof that our products, services, and prices are satisfactory. I strongly believe that with the right budget, location, staff, and plan in place, this business will be a success. References Barusman, A. R. P., Yuliana, T. M., & Mirfazli, E. (2020). Analysis of Implementation Cost Plus Pricing Method in the Decision on the Determination of Product Sales Prices. Desam, N. R., & Al-Rajab, A. J. (2021). The Importance of Natural Products in Cosmetics. In Bioactive Natural Products for Pharmaceutical Applications (pp. ). Springer, Cham. Singh, S., Pandey, S. K., & Vishwakarma, N. (2020). Functional nanomaterials for the cosmetics industry. In Handbook of Functionalized Nanomaterials for Industrial Applications (pp. ). Elsevier.
