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A Study on the Economic Feasibility Analysis of Cosmetics Beauty Industrialization Center

  • Journal of The Korea Society of Computer and Information
  • Abbr : JKSCI
  • 2020, 25(2), pp.221-229
  • DOI : 10.9708/jksci.2020.25.02.221
  • Publisher : The Korean Society Of Computer And Information
  • Research Area : Engineering > Computer Science
  • Received : January 17, 2020
  • Accepted : February 17, 2020
  • Published : February 28, 2020

kimjiin 1 Park Jung Min 2

1보성군도시재생지원센터
2동신대학교

Accredited

ABSTRACT

As the cosmetics beauty industry grows into a key next-generation industry, the establishment of an industrialization center is needed, but failure to verify the adequacy and feasibility of the investment could lead to financial burdens. In this study, the project costs and facilities of an industrial center are reviewed to analyze its economic feasibility based on the cost estimates, revenue estimates, estimated profit or loss calculations, and estimated operating cash flows. The profit estimation criteria were analyzed by applying 90 per cent of expected orders for research projects (24 billion won) and 12 per cent of rental rates for testing equipment (4.5 billion won for construction), and the benefit/cost ratio is higher than 1.02 per cent and the net present value is higher than '0' won, and the internal rate of return is also more than 5.06 per cent for all three analytical methods. Therefore, in order for the construction of a cosmetics beauty industrialization center to be economically feasible, it is necessary to maintain research project orders of more than 90 percent and return on equipment rent of more than 12 percent, and a strategic approach is needed to diversify business profits.

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