IncheonBeautyBloom
Sun Sep 22 2024
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6 answers
1418
What is a disadvantage of greenfield ventures?
When considering the merits of greenfield ventures, it's important to acknowledge potential drawbacks as well. A key disadvantage of greenfield ventures lies in their inherent uncertainty and risk. Unlike brownfield projects, which often involve repurposing existing assets or infrastructure, greenfield ventures require starting from scratch. This means there are more unknowns and variables to consider, such as regulatory hurdles, land acquisition issues, and construction delays. Additionally, greenfield ventures can be capital-intensive, requiring significant upfront investment that may not yield immediate returns. As a result, investors need to carefully weigh the potential risks and rewards of greenfield ventures before committing to them. So, what specific challenges do you see as the biggest disadvantages of greenfield ventures?
