Application and use: ideas should be examined for their real life use and application. If it is clearly existing in the market, we will have to find out its present use. Then, we may think of modifying it for better. If it is something new, a detailed study will be needed to find out its actual use for the consumer.
Level of operation: Depending on the use of the product or service, the entrepreneur will produce it in a cottage or a small scale or a large scale industry. The level of operation will also depend on the quantity to be supplied, expertise, skill and labour, etc.
Cost: Some of the questions like 'the per unit cost of the product at a particular level of operation, whether this cost is comparable with that of other products' need to be answered. This will ultimately decide the sale price.
Technical complexity: Some of the important issues that need to be resolved here are 'what type of technology is required to use the product?, Whether training and application of such technology will be locally available or will it have to be supported from some other places'.