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Funds-wasting

Funds-wasting refers to actions, projects, or expenditures that squander financial resources inefficiently, yielding little to no positive return or benefit. It often implies poor planning, lack of oversight, excessive costs, or unnecessary allocation of money. This can manifest as projects exceeding budgets, purchasing unnecessary items, or investing in ventures with low probabilities of success. It generally describes activities or initiatives that could have achieved better outcomes with more prudent financial management. The primary focus is the unproductive allocation of money, leading to reduced overall resources.

Funds-wasting meaning with examples

  • The city's decision to build a new sports stadium without securing private funding was widely criticized as funds-wasting. The project's exorbitant costs and the anticipated burden on taxpayers raised concerns about responsible fiscal management. Proponents, however, cited benefits to the local economy that were not as clear.
  • Critics accused the government of funds-wasting on a poorly conceived public relations campaign. The campaign failed to improve the nation's image abroad and delivered negative returns relative to the money invested. Some officials defended the initiative, arguing that even small successes justify the significant investment.
  • The company’s acquisition of a struggling competitor, despite expert warnings, was deemed a funds-wasting strategy. The integration process proved expensive and ineffective, damaging the acquiring company's financial performance. Management decisions are often scrutinized during failures like this.
  • Excessive executive bonuses and lavish corporate retreats, particularly during a period of financial hardship, are often examples of funds-wasting. These expenditures are seen as misaligned with the company's overall goals. The focus is often placed on maximizing returns to shareholders, yet these expenditures did the opposite.

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