Question came from thinking of Emirates Airline who sponsor Arsenal, Real Madrid and Milan (and others). This costs them over £100m, surely they cannot be seeing a return on that investment?
In: Economics
For some of these companies the sponsorship money is a drop in the bucket compared to their revenue
I forget the exact wording but I listen to a podcast called No Laying Up (which has a focus on golf) but before staring a podcast/golf company one of the main hosts was in accounting working for the company’s that are hired by the huge businesses to audit their books. He mentioned that for some of these giant companies, a $50 million discrepancy was not large enough to trigger an investigation.
So now think about these sponsorships in that context. $10 million is basically nothing to them
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