What strategy is used to analyze the cost-benefit of different project options?

The strategy that focuses on analyzing the cost-benefit of different project options is economic feasibility analysis, also known as cost analysis. This approach involves assessing the total projected costs of a project against the anticipated benefits to determine whether the investment is worthwhile. It evaluates various aspects such as initial costs, operating expenses, and potential income or savings generated by the project. By quantifying these factors, stakeholders can make informed decisions about whether to pursue a project, compare various alternatives, and understand the potential return on investment.

Economic feasibility analysis considers not only direct financial implications but also factors like time, impact on resources, and alignment with overall objectives. This analysis provides a comprehensive view of the viability of options available, allowing project managers and stakeholders to strategically choose the best course of action based on sound economic reasoning.