It is an idea discovered by an Italian economist. It says that power and wealth is distributed like a reversed hockey stick where a small percentage of the population (20%) owns majority of the wealth (80%). 

• Pick one goal for your business to improve focus and decision-making.
• Optimise the first item in a funnel that has cascading effect to the entire funnel
• Work hard to understand the 20% of your customer.
• Create high margin products that brin...

The Pareto Principle could also be observed in almost every industry:

• In software, 80% of the errors and crashes in a system would be eliminated by fixing the top 20% of the most reported bugs.
• In sports, 20% of athletes participate in 80% of the big games

It is hard to accept the truth that there are inequalities everywhere. But depending on how you see it, the rule could help us filter out unnecessary data, better channel our resources, and make better decision in work and life.

In Pareto Principle, the winner takes almost all. The-Winner-Take-All effect happens isn’t because winners are better, smarter, and stronger than everyone else. In fact, most of us started at about the same place. But that tiny little advantage can take a person a long way by compounding effect o...