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80/20 rule, also known as the Pareto principle

80/20 rule, also known as the Pareto principle

Noun

The Pareto Principle is named after Vilfredo Pareto, an economist. It declares that 80% of consequences come from 20% of the causes, which offers the notion that there is an imbalance in the relationship between inputs and outputs.

Example:

In the case of partnerships, 80% or more of revenue is often driven by 20% of partners.

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