Multiple choice

Greenfield investment is

  1. the investment made in the purchasing of green fields

  2. the investment made in the plantations of trees

  3. the establishment of a new manufacturing plant, workshop, office etc. by a firm

  4. None of these
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Greenfield investment refers to establishing entirely new facilities (plants, offices, workshops) rather than acquiring or expanding existing ones. It is not about literally investing in green fields or tree plantations. The term comes from starting on 'greenfield' sites where no previous facilities existed.

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