Greenfield Investments – Why Hungary? – Investment framework

Key sectors in Hungary: automotive, battery, business service centres, electronics, information and communication technologies, food industry, life sciences, logistics, and medical technologies are considered to be industries in which Hungary actively invites investors. More than 170 000 people are employed in the automotive industry. 1. Key information More Hungarian firms are engaged in international trade than is typical across the EU (70% versus 63%). Manufacturers (92%) are far more likely…

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Risks in greenfield investments

In general, greenfield investment is referred to as one of the types of foreign direct investment, which includes the most significant number of risks. This is because the investor needs to create a production chain from the very beginning. While it can offer numerous advantages, such as greater control, the potential for long-term growth, and a large profit percentage, there are several risks associated with greenfield investments. 1. Political and…

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