What is the Pareto Principle?

Do you believe in it?

The Pareto Principle is also called the Pareto Principle.

It was discovered by Pareto, an Italian economist in the late 19th and early 20th centuries.

The Principle states that in any group of things,

the most important ones only account for a small part, about 20%, and

the remaining 80%, although the majority, are secondary.

For example, in a company,

usually 80% of the profits come from 20% of the projects or customers;

in the distribution of social wealth,

it is often 20% of the people who control 80% of the wealth, etc.

The Pareto Principle reflects an imbalance,

but this imbalance exists widely in society, economy and life.

It reminds people to be good at grasping the key minority,

concentrate their energy and resources on important matters,

to achieve twice the result with half the effort.

The above content is for information sharing only,

and does not constitute any investment advice!

Investment is risky, so be cautious when entering the market!

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