The Pareto principle states that for many outcomes, roughly 80% of consequences come from 20% of causes (the “vital few”). Other names for this principle are the 80/20 rule, the law of the vital few, or the principle of factor sparsity.


Mathematically, the 80/20 rule is roughly described by a Power law distribution (also known as a Pareto distribution) for a particular set of parameters. Many natural phenomena distribute according to power law statistics. It is an adage of business management that “80% of sales come from 20% of clients”.

(“Pareto Principle” 2022)


“Pareto Principle.” 2022. Wikipedia, November.