Question

A greenfield investment is the best choice​ when:
a. government mandated benefits are high
b. the investor has a lack of capital
c. ​there's a lack of suitable potential employees
d. sustainability is at the core of the corporate mission
e. a suitable acquisition target​ doesn't exist

Answer 1

a suitable acquisition target doesn't exist

A greenfield investment is the best choice when a suitable acquisition target doesn't exist. A greenfield investment is a foreign direct investment where a parent company builds its operations in a foreign country from the ground up. These projects can usually also include the building of new distribution hubs, offices and living quarters.