Revenue sharing involves distributing operating profits or losses among associated financial actors. In this video, learn how the profit-sharing system has become a popular tool within corporate governance to promote partnerships, increase sales or share costs. The video highlights a variety of examples and models of the profit-sharing system. These include incentive programs, which reward partners for referring customers, companies that jointly produce and advertise a product, cost-per-sale revenue sharing in digital advertising, and even revenue sharing between tickets and merchandising within professional sports. The video will also explain how revenue sharing works beyond private businesses. For example, the U.S. and Canada often use taxation revenue sharing between different levels of government.