The 20-80 Rule Reflects the Idea That ________

question 78

Multiple Choice

The 20-80 rule reflects the idea that ________.

• A)20% of the company's profits are generated by the top 80% of customers
• B)the top 20% of customers are highly satisfied and 80% of customers will recommend the company to a friend
• C)20% of customers are unprofitable,and 80% make up a company's profits
• D)the top 20% of customers often generate 80% of the company's profits
• E)any new product will be accepted by 20% of the customers immediately,but 80% of the customers will be up for grabs throughout the product's life cycle

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Definitions:

Goods And Services

Products and activities provided by businesses or individuals that fulfill consumer needs and wants, including tangible products (goods) and activities or benefits (services).

Economists

Specialists in understanding the generation, allocation, and utilization of products and services.

Production Possibilities Frontier

A graph that shows the maximum possible output combinations of two goods or services an economy can achieve when all resources are fully and efficiently utilized.

Economy Can Produce

The maximum quantity of goods and services an economy can generate when it utilizes all its resources efficiently.