What Does the 80/20 Principle Propose

question 130

Multiple Choice

What does the 80/20 principle propose?

• A) Roughly 80 percent of the profit comes from 20 percent of the sales.
• B) Roughly 80 percent of a firm's customers are repeat business.
• C) Roughly 50 percent of a firm's customers purchase 80 percent of the sales volume of the product.
• D) Roughly 20 percent of a firm's customers purchase 80 percent of the sales volume of the product.
• E) Sales are equally divided among heavy,medium,and light users,but they all need slightly different products.

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Definitions:

Battery

An intentional unconsented physical contact or harm caused by one person to another.

Vicarious Liability

Legal responsibility assigned to one party for the actions of another, typically an employer for the actions of an employee.

Employment Context

The environment and conditions under which individuals engage in work for employers, including all related legal, social, and economic factors.

Principle of Vicarious Liability

A legal doctrine that holds one person or entity legally responsible for the actions of another, such as an employer for the behaviors of their employees.