The 20-80 rule reflects the idea that ________.
A)20% of the company's profits are generated by the top 80% of customers
B)the top 20% of customers are highly satisfied and 80% of customers will recommend the company to a friend
C)20% of customers are unprofitable,and 80% make up a company's profits
D)the top 20% of customers often generate 80% of the company's profits
E)any new product will be accepted by 20% of the customers immediately,but 80% of the customers will be up for grabs throughout the product's life cycle

Question

Quizplus · Accepted Answer

The 20-80 rule, also known as the Pareto principle, suggests that 80% of the effects come from 20% of the causes. In business, this often means that the top 20% of customers will generate 80% of the company's profits. Therefore, option D, which states that the top 20% of customers often generate 80% of the company's profits, is the best choice.

The 20-80 Rule Reflects the Idea That ________