JBM, the Google Places is for
business owners. Do you see it?
Owners.
Business owners have to verify that the place (address on the map) they declare as their own (or as statutory of their shop or other business) does really belong to them and they are able to collect the letter with confirmation PIN there. Placing (and correct placing) of the their business on the map is their responsibility, not yours.
This procedure is relevant. Otherwise we will have a flood of duplicate business listings of shops and services stacked at popular places (we have it either, but not at such an extent, as some people probably found the trick how to make a fool of Google).
All you can do for business owners it to "snap your photos to their place" (red square) - if their place is visible on your photo. I guess you've already got difference between "pin marker" (position where the photo was taken) and red square (subject or something related to the photo).
I mostly use landmarks, not business places as a red dot. But to get landmark as red dot, you often have to type the landmark name into search box. So if I have photo of the lake - I search for the lake name. If there is no lake name in Google database, I try to search for something more general - e.g. national park name, where the lake is placed. If everything fails, I use nearest suitable red dot - or nothing.