Sports Sponsorship is Cost-Effective

The news media asks General Motors why it is able to spend a million dollars to sponsor the Texas State Fair in a “down economy.” This illustrates a complete ignorance of how business works. They don’t do these sponsorships as “charity.” They do it to get their name out to as many people as possible, as cheaply as possible. GM says it would have to sponsor as many as a dozen other events to get their name out to as many people as they do in just a few days by sponsoring one event. They’re not GIVING this money away. They’re spending it to improve their business, just as they spend money for TV ads—and for the same reason. If you don’t advertise, you’re going to go out of business. I sure hope Obama doesn’t start barring such sponsorships in a short-sighted effort to save money. That would be disastrous. (Just common sense)