CHAPTER 7 Avoid This Rule at Your Own Risk
The key to a successful home-selling approach traces its roots back to a revolutionary concept introduced by an Italian economist of great significance, Vilfredo Pareto. At the core of his teachings lies the Pareto Principle, more commonly recognized as the 80/20 rule, which has wide-ranging applications across various facets of life. In 1906, Vilfredo Pareto stumbled upon a fascinating correlation that sparked his curiosity. While tending to his garden, he noticed that a mere 20 percent of the pea pods contained a remarkable 80 percent of the seeds. This observation prompted him to delve deeper into the implications of this ratio. Upon further investigation, he made a noteworthy revelation: a staggering 80 percent of the land in his region was owned by just 20 percent of the population. This pivotal insight led him to recognize that this ratio had profound relevance in numerous aspects of life, culminating in the formulation of what we now refer to as the Pareto Principle or the 80/20 rule. In essence, this principle emphasizes that the 20 percent is the crux, while the remaining 80 percent holds relatively less significance.
Consider these practical examples:
-Approximately 80 percent of your income stems from just 20 16
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