Sponsorship is a business arrangement where one party provides support, usually financial, to another party in exchange for promotional benefits. This support can help fund events, activities, or individuals, such as athletes or artists, while the sponsor gains visibility and brand recognition. Common examples of sponsorship include companies sponsoring sports teams or events like concerts and festivals. In return, the sponsor's logo may appear on merchandise, advertisements, or promotional materials, helping to reach a wider audience and enhance their brand image.