Running an F1 team is a business and there are three major sources of income
- Chamionship prize money
- Sponsorship
- Seat money
Before the start of the season, a lower tier team may feel that they can achieve 7th in a championship, giving them $70m in prize money with a 'standard' driver. However, more sponsorship opportunities may arise from a hiring a lower-skilled handsome-rich-kid driver. The team would then do some calculations:
- Handsome Rich-kid has ties to Mega-Soda-Corp and could bring in a sponsorship $11m
- Handsome Rich-kid's dad wants his son to become famous and would pay for the seat, bringing in $1m 'seat money'
- Less points would drop us from 7th to 9th in the championship, losing $7m prize money
- There would be more accidents and car repairs, losing around $1m
So...
Standard driver = $70m
But...
Shit driver 70m+11m+1m-7m-1m = $74m
As you can see in the example above, there are some situations where finishing further down the field can net more income. Try for yourself with
Motorsport Manager