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Sponsorship is typically done for promotional purposes, to generate publicity, or to obtain access to a wider audience.
Sponsorship may be an arrangement to exchange advertising for the responsibility of funding a popular event or entity.
Although a company's motives may be altruistic, sponsorship is more commonly used to derive benefit from the associations created for a company's brand(s) or image as a result of the sponsorship.
The sponsorship scandal, "AdScam", or Sponsorgate, is an ongoing scandal that came as a result of a Canadian federal government "sponsorship program" (sometimes capitalized) in the province of Quebec.
The sponsorship crisis thus became a key election issue, and remained a rallying-point for conservative opponents of the Liberals in the 2006 federal election.
The sponsorship scandal was brought back to national attention after an NDP member tipped off the RCMP to launch a criminal investigation into the Finance Department, regarding allegations of insider trading from the leaking of the news on the taxable status of income trusts.
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