For each pair of adjacent spins, define the transfer matrix for a classical spin chain by . Multiplying its entries gives the Boltzmann factor of a whole configuration. The periodic boundary condition identifies the last index with the first, so
The assumed interchange symmetry of makes a real symmetric matrix, hence it has an orthonormal eigenbasis. At finite positive temperature, every matrix entry is strictly positive, so the Perron–Frobenius theorem supplies a unique positive largest eigenvalue , larger in modulus than every other one. Therefore .
Local observables become matrix insertions. For example, with ,
Thus partition functions and correlation functions reduce to a fixed-dimensional eigenvalue problem, rather than a sum over exponentially many microstates.

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