About item location
The item location is a group of items that are stocked at a specific location. The item location tracks item costs and quantities. Also, the item location records determine if the item is tracked by bin, and define replenishment information for the item. At least one item location record is required for each item master record, if the item is a stock item and you track quantities.
When setting up an item location, you can define Order Entry setup values, such as the:
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Minimum and maximum order line quantity for the location
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Determining whether all order lines for a location are to create purchase orders
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Determining whether all order lines for a location are to be marked as drop ship