Explain potential advantage of new centralized warehouse


Problem

A small chain of eight toy stores in Houston each ordering and holding their own inventory has opened a centralized internet website allowing customers to get the toys delivered to their home address. In order to do so they created a central warehouse to house all the inventory (serving both the physical stores and the online customers.) Provide and explain at least three potential advantage of the new centralized warehouse system and at least three disadvantage.

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Operation Management: Explain potential advantage of new centralized warehouse
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