Which of the following is a potential disadvantage of sponsorship?

• A. Withdrawal of sponsorship can have serious impacts on clubs or individuals
• B. Sponsorship improves the image of a sponsor
• C. Tax benefits
• D. Many sponsors have corporate boxes in stadiums so they can use these to organize their own events

Answer: (A)

Sponsorship carries risk because it provides a big part of the funding and resources for a club or athlete. If a sponsor withdraws, the financial shortfall can affect budgets, leading to cuts in training, travel, equipment, or even staff, and can force programmes or development plans to be scaled back or cancelled. This can disrupt performance, planning, and opportunities for players. The other options describe benefits to the sponsor or the sponsorship setup (better sponsor image, tax benefits, access to corporate facilities), which are advantages rather than drawbacks.