The Pareto Principle, also known as the 80/20 Rule, is a concept developed by Italian economist Vilfredo Pareto in 1896. It states that, in many situations, roughly 80% of the effects come from 20% of the causes. This principle suggests that a small portion of input or effort often leads to a large portion of output or results. Key Ideas: - Business: 80% of sales may come from just 20% of customers or products. - Time Management: 80% of your productive work could come from 20% of your tasks. - Economics: 80% of wealth might be owned by 20% of the population. - Software Development: 80% of software bugs are caused by 20% of the code. Application: The Pareto Principle is useful for prioritizing efforts, highlighting that focusing on the most impactful areas (the "vital few") will yield the greatest results. This principle helps businesses, managers, and individuals focus on high-value tasks and optimize productivity by reducing effort on less productive areas.