GRAHA STUFF

Have you heard the pareto law? Or you've heard the 80/20 business principles? This business principle is very important for you to know. If not, let me explain briefly.

I hear the business principle of 80/20 or pareto law was first when I pursue multi-level marketing business. Discoverer is Italian economist Vilfredo Pareto (1848-1923).

By the way, in my article about the search for business opportunities small capital, I never touched briefly on "involvement" in my business is a multi-level marketing.

But now I have resigned because of various considerations. :) Back to the topic, at that time, my upline said something like this: "You must be a presentation as much as possible. Order of 20% of people who join the grupmu your presentation. "

I used to think that only applies business principles in the world of MLM. It turns out pareto business principles are very useful in conventional business, even in our everyday lives. Actually it was only a 80/20 business principles state that reason, the input (input) or a small business usually brings a result, the output or results are great.

Preview trivial like this, 80% of what you produce in your work is obtained from 20% of the time you spend. So 80/20 it's business principles state that there is a fundamental imbalance between cause and effect, the input of an output or between businesses with the result. Example of details like this:

In the business world:

* 20% of products typically generate about 80% of sales value.
* 20% of consumers typically generate 80% profit.

In the community:

* 20% to 80% evil villain.
* 20% 80% motorist causes an accident.

In households:

* 20% of your carpets used as much as 80%.
* You wear your clothes 20% of over 80% of your time.

In organizations:

* Of the total students, 20% of it was serious in college, 80% rest more often rah-rah, including my first time in college.
* Of the total civil servants, about 20% who are serious and diligent service to the country come to work. The rest reluctantly and often steal time to go home early.

It is not an absolute percentage of breathing 80% and 20%. It's just a rule, it could certainly be more and less. I had an interesting experience related to the business principle of pareto this.

My first thought hard. How can you let me have a downline two people? Then I use this 80/20 business principles. So if I want to join my MLM group at two people, means I have to invite 50 people.

Of the 50 people I invite, I estimate that 20% of them come to my presentation, which is 10 people. Of the 10 people I presentation, 20% of them probably want to join my group, that is two people. At that time I imagine so heavy. "Mateng dah, is forced to invited 50 people", I thought. But it must be like that.

And it turns out that the join more than two people. What if I think like this, so there are two people who join, then I invite two time course is, four people. So I want a presentation, might not have come.

So I repeat again, the principle of pareto business is you can apply in the business world. Like let's say you want to choose a location for the business of mobile counters. Try your search for a minimum of 10 shophouses that match your criteria, then you select one or two of the most good.

Likewise if you have a salesman. At least in one instance a team that consists of 10 salesmen, do two people who make you the biggest turnover. I've experienced it myself. Once my sales team consists of eight people. What really could generate a turnover with a good performance just one person.

The conclusion was that, each time you do something, try connecting with this business principle pareto law. It's not as simple as I have demonstrated above. But at least you've got one of his business strategy if you will take an action.