• Entry
  • Reader's guide
  • Entries A-Z
  • Subject index

The Pareto Principle is also known as “the 80:20 rule” and “A minority of input produces the majority of results.” Italian economist Vilfredo Pareto studied the distribution of wealth in a variety of countries around 1900 and found that about 80% of the wealth in most countries was controlled by a consistent minority—about 20% of the people. The principle has been expanded beyond its economic use and reflects the notion that most of the results (of a life, of a program, of a financial campaign) come from a minority of effort (or people, or input).

10.4135/9781412950558.n394
    • Loading...
    locked icon

    Sign in to access this content

    Get a 30 day FREE TRIAL

    • Watch videos from a variety of sources bringing classroom topics to life
    • Read modern, diverse business cases
    • Explore hundreds of books and reference titles