The "80-20" principle exists in many companies because:
A)Marketing efforts and costs follow the number of territories,products,and customers,rather than actual sales or profit from these units.
B)Management does not evaluate the marketing performance.
C)All sales generate about the same rate of profit.
D)Most marketing executives are sales-oriented and not profit-oriented.
E)A company does not conduct a marketing cost analysis.

Question

Quizplus · Accepted Answer

The "80-20" principle states that 80% of a company's sales come from 20% of its customers or products. However, many companies still allocate their marketing efforts and costs based on the number of territories, products, and customers rather than focusing on the most profitable units. This can lead to inefficient use of resources and lower overall profits.

The "80-20" Principle Exists in Many Companies Because