Walmart also has a unique distribution system that reduces expenses. It builds super warehouses known as Distribution Centers (DCs)in central locations that receive the majority of merchandise sold in Walmart stores. It sorts and moves the merchandise via a complex system of bar codes, and its inventory information system then transports it to the various stores, using its company-owned fleet or a partner. The central distribution center helps Walmart negotiate lower prices with its suppliers because of the large purchasing volumes.
These strategies have resulted in great success for Walmart. And it even uses the second most powerful computer in the world-behind the Pentagon's-to run its logistics