Option 2: Both Assertion (A) and Reasoning (R) are correct, but R is not the correct explanation of A.
Explanation:
- Assertion (A): Entrepreneurship idea (product offering idea) must be technically and economically feasible. This statement is correct because for an entrepreneurial idea to be successful, it must not only be technically possible but also economically viable. If an idea is not economically feasible, it may not generate sufficient revenue to cover costs and sustain the business.
- Reasoning (R): Technically feasible means that it should be possible with the available technology to convert the idea into a reality. While this statement correctly defines technical feasibility, it doesn't directly explain why both technical and economic feasibility are necessary for an entrepreneurship idea. Economic feasibility ensures that the idea can be implemented within budget constraints and has the potential to generate profits. Therefore, while both the assertion and reasoning are correct, the reasoning does not fully explain the assertion.
Feasibility Analysis: The product offering idea must be technically feasible, that is it should be possible with the available technology to convert the idea into a reality. And this should be possible at a cost that can be covered by the price it will fetch; in other words, the idea must be economically feasible too. The project cost should be within the resources available and the resource providers should be reasonably sure of an appropriate return on (profit) and return of (safety and liquidity) of their investments. That is, the idea must be financially viable as well.
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