What is a distribution warehouse primarily used for?

A distribution warehouse is primarily used for serving multiple retail outlets or factory sites. This type of warehouse is designed to efficiently handle the storage and distribution of goods that are intended for resale or inter-company delivery. By consolidating inventory from various suppliers, a distribution warehouse can optimize the supply chain by facilitating quicker and more effective delivery to various locations.

The primary function of such warehouses is to streamline the logistics process, ensuring that retailers and factories receive their products in a timely manner. They typically store a wide range of products, allowing businesses to maintain lower inventory levels at their individual retail sites while still being able to respond quickly to customer demand.

Understanding this context helps clarify why the other options do not fit the definition of a distribution warehouse. The focus on serving multiple outlets highlights the central role these warehouses play in broader supply chain management, rather than the more specialized or limited functions suggested by the other options.