What is a Geographic Information System (GIS) used for?

A Geographic Information System (GIS) is primarily utilized for analyzing geographic data. It enables users to visualize, analyze, and interpret spatial data to understand relationships, patterns, and trends related to geographical locations. By leveraging spatial analysis, GIS allows businesses, researchers, and governments to make data-driven decisions influenced by location.

For instance, retailers can use GIS to identify optimal store locations, assess market potential in specific areas, and understand demographic characteristics of different geographical regions. The ability to overlay various data sets—such as population density, income levels, and competitor locations—enhances insights related to geographic dynamics in retail and other fields.

Other options, while related to business functions, do not directly pertain to the specialized use of GIS technology. Managing inventory levels, processing customer transactions, and developing marketing strategies may involve data analysis, but they don't specifically focus on the spatial and geographic aspect that GIS is designed to address. Thus, the correct answer highlights the core function of GIS within the broader context of data analysis.