Companies have increased their spending on entertainment despite the prolonged economic slump. A total sum of 460,614 companies’ annual entertainment spending in 2011 surpassed 8 trillion won ($7.5 billion), according to data from the National Tax Service. The figure is about 9 percent up from in 2010.
By sector, finance and insurance spent the most, about 16 times more than that of the farm and fisheries sectors.
The NTS added that firms with weak sales generally spent more money on entertainment. Conglomerates’ spending comprised only about 12.7 percent of the total. Small and medium firms’ expenditure took up the remaining share.
The expenses for entertainment were more than twice the 4.06 trillion won in donations made by the companies during the same period.
By Chung Joo-won (email@example.com)