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Old 08-31-2014, 09:07 AM   #512
lachimba
 
Join Date: Nov 2007
Location: Sydney
Default Re: Report To The Stakeholders

[QUOTE=Pragmatic;1807222

It's definitely scary that so much of the company's revenue is tied up in one product line...[/QUOTE]

Really? Id say its pretty straight forward variant of the http://en.m.wikipedia.org/wiki/Pareto_principle in business.

Though instead of 80% from 20% of customers its 80% from 20% (or less) of product.

Its pretty common on many levels of business if you think about it. The Pizza shop where sales come 80% from the pizza the rest is the drinks, desserts etc.

My friend worked in bike retail he said it was exactly the same a few products were about 80% of their sales.
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