Can Pareto’s law identify popularity ?
If a situation has a number of alternatives including a large customer base, will there be an inequality to a certain percentage of the population?
The answer is YES, to a certain extent.
A Market with a relatively high degree of freedom will create a certain degree of inequality. The inequality will favour the upper 20% of the items and perhaps ignore the remaining 80%.
The good news is that the 20% of the items may represent the 80% of the revenues and we may want to focus on the upper 20%.
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