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How to Use the 80/20 Rule to Generate Massive Profits in your Business
By: Claude Whitacre
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    Table of Contents:
  • How to Use the 80/20 Rule to Generate Massive Profits in your Business
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    How to Use the 80/20 Rule to Generate Massive Profits in your Business

    (Page 1 of 3 )

    It's called the 80/20 Rule. Otherwise known as the Parato Principle, after the inventor.

    This man found that in finances, 80% of the wealth was owned by 20% of the people. This ratio of 80/20 has since been expanded to include almost any subject.

    80% of the races are won by 20% of the runners, Etc.

    Whatever products you sell at retail...... 80% of the profit comes from 20% of the product selection.

    Here is the single biggest thing I got from this principle:

    80% of the retailers are sharing the lowest 20% of the profits. (I mean from a single product category)

    Let's take vacuum cleaners as an example.. Let's say 80% of them sell the cheapest and lowest quality machines. K-Mart, Wal-Mart, Lowes, Builders Square, Target, etc. mostly sell the lowest priced machines. They also advertise the lowest priced machines.

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