The 80/20 Principle Holds That a Small Percentage of Loyal

question 13

True/False

The 80/20 principle holds that a small percentage of loyal customers generate the bulk of sales.

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Definitions:

Central Tendency

A statistical measure that identifies a single value as representative of an entire distribution of data.

Outliers

Observations in a dataset that are significantly distant from the other observations, potentially indicating a measurement error or a different population.

Parameter

A numerical characteristic that describes a statistical population, such as a mean or standard deviation.

Mode

The value that appears most frequently in a data set, representing the highest peak in a distribution.