A factory erected on a previously undeveloped site, as contrasted with extending or converting an existing plant. Greenfield development allows firms to avoid the congestion and pollution problems of the areas around many old sites. It also allows an old plant to continue in use while its successor is being built. A disadvantage of greenfield development is that it may be necessary to invest in providing new sites with power, transport, and other facilities already in place in an old site.
|Reference: Oxford Press Dictonary of Economics, 5th edt.|