Pareto's Principle: Expand your business with the 80/20 rule
By 50minutes
5/5
()
About this ebook
This book is a practical and accessible guide to understanding and implementing Pareto’s Principle, providing you with the essential information and saving time.
In 50 minutes you will be able to:
• Understand Pareto’s Principle and how to identify the 80/20 ratio in any area of your life or business
• Identify the most important 20% and focus on the main factors that result in the majority of your results
• Use Pareto’s Principle to manage your business more efficiently, increase revenue and get organized
ABOUT 50MINUTES.COM| Management & Marketing
50MINUTES.COM provides the tools to quickly understand the main theories and concepts that shape the economic world of today. Our publications are easy to use and they will save you time. They provide both elements of theory and case studies, making them excellent guides to understand key concepts in just a few minutes. In fact, they are the starting point to take action and push your business to the next level.
Read more from 50minutes
The Eruption of Vesuvius: The Deadly Disaster of Pompeii Rating: 5 out of 5 stars5/5Albert Camus: Existentialism, the Absurd and rebellion Rating: 5 out of 5 stars5/5The United Nations: The Organisation at the Heart of International Diplomacy Rating: 5 out of 5 stars5/5The Six-Day War: The Conflict that Re-Shaped the Middle East Rating: 0 out of 5 stars0 ratingsThe Trojan War: A legendary conflict in Ancient Greece Rating: 0 out of 5 stars0 ratingsTransactional Analysis: A valuable tool for understanding yourself and others Rating: 3 out of 5 stars3/5Henry Ford: Mass Production and the Model T Rating: 0 out of 5 stars0 ratingsThe Yom Kippur War: The Arab-Israeli Conflict of 1973 Rating: 0 out of 5 stars0 ratingsThe Battle of Thermopylae: The Heroic Fall of Leonidas I and the 300 Spartans Rating: 5 out of 5 stars5/5Magellan: The First Circumnavigation of the Globe Rating: 0 out of 5 stars0 ratingsYoga for Beginners: Simple techniques to boost your wellbeing Rating: 0 out of 5 stars0 ratingsGeorge Washington: The Founding Father of the US Constitution Rating: 4 out of 5 stars4/5Opus Dei: The Secrets and Scandals of an Influential Organisation Rating: 0 out of 5 stars0 ratingsThe Battle of Tours: The Turning Point in the Struggle Against Islam Rating: 0 out of 5 stars0 ratingsThe Chernobyl Disaster: The Nuclear Catastrophe and its Devastating Effects Rating: 0 out of 5 stars0 ratingsIsaac Newton: A Giant of Modern Science Rating: 0 out of 5 stars0 ratingsMindfulness: The secrets to inner peace and harmony Rating: 0 out of 5 stars0 ratingsLearn to Love Yourself: Practical steps to build confidence and self-esteem Rating: 0 out of 5 stars0 ratingsWinston Churchill: Britain’s Legendary Wartime Leader Rating: 0 out of 5 stars0 ratingsGeorges Lemaître: The Big Bang Theory and the Origins of Our Universe Rating: 5 out of 5 stars5/5The Battle of Lepanto: The Brutal Defeat of the Ottoman Empire Rating: 0 out of 5 stars0 ratingsThe Watergate Scandal: The conspiracy that brought down Nixon Rating: 0 out of 5 stars0 ratingsLeif Eriksson: His Forgotten Discovery of America Rating: 0 out of 5 stars0 ratingsThe Battle of Verdun: The Horror of Trench Warfare Rating: 0 out of 5 stars0 ratingsAlbert Einstein: The Genius who Changed the Face of Physics Rating: 1 out of 5 stars1/5Vasco da Gama: The Sea Route to India Rating: 0 out of 5 stars0 ratingsNeil Armstrong: The Success of Apollo 11 and the First Man on the Moon Rating: 0 out of 5 stars0 ratingsJohn Paul II: The Pope Who Modernised the Catholic Church Rating: 0 out of 5 stars0 ratings
Related to Pareto's Principle
Titles in the series (28)
Gestalt Psychology for Marketing and Leadership: Influence customer perceptions and make your advertising more memorable Rating: 0 out of 5 stars0 ratingsPorter's Five Forces: Understand competitive forces and stay ahead of the competition Rating: 4 out of 5 stars4/5Ishikawa Diagram: Anticipate and solve problems within your business Rating: 5 out of 5 stars5/5The Greiner Growth Model: Anticipate crises and adapt to a changing business world Rating: 0 out of 5 stars0 ratingsThe Theory of Comparative Advantage: Why specialisation is the key to success Rating: 0 out of 5 stars0 ratingsThe Competitive Power of the Product Lifecycle: Revolutionise the way you sell your products Rating: 0 out of 5 stars0 ratingsThe Six Sigma Method: Boost quality and consistency in your business Rating: 3 out of 5 stars3/5The BCG Growth-Share Matrix: Theory and Applications: The key to portfolio management Rating: 2 out of 5 stars2/5The Marketing Mix: Master the 4 Ps of marketing Rating: 5 out of 5 stars5/5Michael Porter's Value Chain: Unlock your company's competitive advantage Rating: 4 out of 5 stars4/5Game Theory: The art of thinking strategically Rating: 3 out of 5 stars3/5SMART Criteria: Become more successful by setting better goals Rating: 5 out of 5 stars5/5Maslow's Hierarchy of Needs: Gain vital insights into how to motivate people Rating: 5 out of 5 stars5/5The Law of Diminishing Returns: Theory and Applications: Understand the fundamentals of economic productivity Rating: 0 out of 5 stars0 ratingsCapital Asset Pricing Model: Make smart investment decisions to build a strong portfolio Rating: 4 out of 5 stars4/5Pareto's Principle: Expand your business with the 80/20 rule Rating: 5 out of 5 stars5/5McKinsey 7S Framework: Boost business performance, prepare for change and implement effective strategies Rating: 4 out of 5 stars4/5Management by Objectives: Get the best out of your employees Rating: 0 out of 5 stars0 ratingsFreemium: Attract more customers and boost your sales Rating: 0 out of 5 stars0 ratingsParkinson's Law: Master time management and increase productivity Rating: 0 out of 5 stars0 ratingsThe Peter Principle: Say NO! to incompetence at work Rating: 4 out of 5 stars4/5The Long Tail Theory for Business: Find your niche and future-proof your business Rating: 0 out of 5 stars0 ratingsThe Balanced Scorecard: Turn your data into a roadmap to success Rating: 4 out of 5 stars4/5The SWOT Analysis: A key tool for developing your business strategy Rating: 4 out of 5 stars4/5Business Plan Checklist: Plan your way to business success Rating: 5 out of 5 stars5/5PESTLE Analysis: Understand and plan for your business environment Rating: 4 out of 5 stars4/5Improve Your Business Through Kaizen: Boost your results with continuous improvement Rating: 4 out of 5 stars4/5
Related ebooks
The Six Sigma Method: Boost quality and consistency in your business Rating: 3 out of 5 stars3/5The 80/20 Principle (Review and Analysis of Koch's Book) Rating: 4 out of 5 stars4/5The 1% Windfall: How Successful Companies Use Price to Profit and Grow Rating: 3 out of 5 stars3/5Six Sigma (Review and Analysis of Harry and Schroeder's Book) Rating: 0 out of 5 stars0 ratingsLean Management for Beginners: Fundamentals of Lean Management for Small and Medium-Sized Enterprises - With many Practical Examples Rating: 0 out of 5 stars0 ratingsImprove Your Business Through Kaizen: Boost your results with continuous improvement Rating: 4 out of 5 stars4/5Management by Objectives: Get the best out of your employees Rating: 0 out of 5 stars0 ratingsThe Law of Diminishing Returns: Theory and Applications: Understand the fundamentals of economic productivity Rating: 0 out of 5 stars0 ratingsThe Greiner Growth Model: Anticipate crises and adapt to a changing business world Rating: 0 out of 5 stars0 ratingsThe Balanced Scorecard: Turn your data into a roadmap to success Rating: 4 out of 5 stars4/5Game Theory: The art of thinking strategically Rating: 3 out of 5 stars3/5Parkinson's Law: Master time management and increase productivity Rating: 0 out of 5 stars0 ratingsThe Long Tail Theory for Business: Find your niche and future-proof your business Rating: 0 out of 5 stars0 ratingsThe Competitive Power of the Product Lifecycle: Revolutionise the way you sell your products Rating: 0 out of 5 stars0 ratingsSMART Criteria: Become more successful by setting better goals Rating: 5 out of 5 stars5/5Ishikawa Diagram: Anticipate and solve problems within your business Rating: 5 out of 5 stars5/5The BCG Growth-Share Matrix: Theory and Applications: The key to portfolio management Rating: 2 out of 5 stars2/5Value Stream Mapping: Reduce waste and maximise efficiency Rating: 4 out of 5 stars4/5Freemium: Attract more customers and boost your sales Rating: 0 out of 5 stars0 ratingsThe Peter Principle: Say NO! to incompetence at work Rating: 4 out of 5 stars4/5The Theory of Comparative Advantage: Why specialisation is the key to success Rating: 0 out of 5 stars0 ratingsThe SWOT Analysis: A key tool for developing your business strategy Rating: 4 out of 5 stars4/5PESTLE Analysis: Understand and plan for your business environment Rating: 4 out of 5 stars4/5Michael Porter's Value Chain: Unlock your company's competitive advantage Rating: 4 out of 5 stars4/5Porter's Five Forces: Understand competitive forces and stay ahead of the competition Rating: 4 out of 5 stars4/5Gestalt Psychology for Marketing and Leadership: Influence customer perceptions and make your advertising more memorable Rating: 0 out of 5 stars0 ratings
Economics For You
Divergent Mind: Thriving in a World That Wasn't Designed for You Rating: 4 out of 5 stars4/5The Intelligent Investor, Rev. Ed: The Definitive Book on Value Investing Rating: 4 out of 5 stars4/5Economics For Dummies, 3rd Edition Rating: 5 out of 5 stars5/5Wise as Fu*k: Simple Truths to Guide You Through the Sh*tstorms of Life Rating: 4 out of 5 stars4/5Quiet Leadership: Six Steps to Transforming Performance at Work Rating: 4 out of 5 stars4/5Economics 101: From Consumer Behavior to Competitive Markets--Everything You Need to Know About Economics Rating: 4 out of 5 stars4/5Principles for Dealing with the Changing World Order: Why Nations Succeed and Fail Rating: 4 out of 5 stars4/5The Richest Man in Babylon: The most inspiring book on wealth ever written Rating: 5 out of 5 stars5/5You Can't Lie to Me: The Revolutionary Program to Supercharge Your Inner Lie Detector and Get to the Truth Rating: 4 out of 5 stars4/5Sex Trafficking: Inside the Business of Modern Slavery Rating: 4 out of 5 stars4/5A History of Central Banking and the Enslavement of Mankind Rating: 5 out of 5 stars5/5Doughnut Economics: Seven Ways to Think Like a 21st-Century Economist Rating: 4 out of 5 stars4/5Capital in the Twenty-First Century Rating: 4 out of 5 stars4/5Economix: How and Why Our Economy Works (and Doesn't Work), in Words and Pictures Rating: 4 out of 5 stars4/5The Myth of Capitalism: Monopolies and the Death of Competition Rating: 4 out of 5 stars4/5The Hard Truth About Soft Skills: Soft Skills for Succeeding in a Hard Wor Rating: 3 out of 5 stars3/5How to Be Everything: A Guide for Those Who (Still) Don't Know What They Want to Be When They Grow Up Rating: 4 out of 5 stars4/5Talking to My Daughter About the Economy: or, How Capitalism Works--and How It Fails Rating: 4 out of 5 stars4/5Recession-Proof Real Estate Investing: How to Survive (and Thrive!) During Any Phase of the Economic Cycle Rating: 5 out of 5 stars5/5Capitalism and Freedom Rating: 4 out of 5 stars4/5Confessions of an Economic Hit Man, 3rd Edition Rating: 5 out of 5 stars5/5The Spirit Level: Why Greater Equality Makes Societies Stronger Rating: 4 out of 5 stars4/5The Lords of Easy Money: How the Federal Reserve Broke the American Economy Rating: 4 out of 5 stars4/5Chip War: The Fight for the World's Most Critical Technology Rating: 4 out of 5 stars4/5The Sovereign Individual: Mastering the Transition to the Information Age Rating: 4 out of 5 stars4/5Bad Samaritans: The Myth of Free Trade and the Secret History of Capitalism Rating: 4 out of 5 stars4/5
Reviews for Pareto's Principle
1 rating0 reviews
Book preview
Pareto's Principle - 50minutes
Key points
Names: Pareto’s principle, Pareto’s rule, Pareto’s law, the 80/20 rule, the law of the vital few.
Uses:
Economics: Business management (quality management, customer management, production management, stock control, human resources, etc.), creating commercial and marketing strategies, etc.
Physics, sociology and statistics.
Private sector: time management, task organisation, etc.
Why is it successful? According to Pareto’s principle, ‘80% of effects are the product of 20% of causes’. This ratio allows you to quickly identify the essential part of any activity. The model is found in many areas of daily life and in the business world. For example, when a business wants to identify the customers that generate the most revenue. If the 80/20 ratio is considered, the company can focus on the 20% of customers that generate 80% of its turnover to try and make them loyal customers.
Key words: Vilfredo Pareto, Pareto’s principle, the 80/20 rule, ABC analysis, turnover, Joseph Juran, time management, customer relations, relationship marketing, CRM, Pareto chart, Long Tail theory, Pareto efficiency
Introduction
History
Pareto’s principle is an analysis and decision-making tool created by Vilfredo Pareto (1848-1923) at the