The program is being implemented on an experimental basis during the 1997-2000 period in order to evaluate its effectiveness. Return to the top. There is then a long and risky road between what works in an academic research lab and what works in an applied setting. One way to decrease that risk, and make this early stage technology more attractive and valuable to industry, is to perform proof of principle or feasibility studies. These would, of course, take different forms depending on the technology in question and could range from very limited feasibility studies to a more complex developmental program.
Feasibility studies can be very valuable for licensing technologies in a variety of fields.
In the case of potential therapeutics, limited feasibility studies might include studies in animal models, both for efficacy and toxicity, and could either be contracted out or performed in-house as appropriate. The 'virtual' company concept is based on this idea. The goal of the virtual company is to add value to technologies by performing some limited proof of principle or development work at a relatively low cost. If the technology doesn't work, the investors have lost very little. If the technology continues to show promise, however, the virtual company now has the means to approach a large company or the venture capital community for funds for continued development.