What is the primary function of Electronic Data Interchange (EDI)?

The primary function of Electronic Data Interchange (EDI) is the computer-to-computer exchange of business documents. EDI facilitates the automated transfer of important business information between organizations, allowing for transactions such as purchase orders, invoices, and shipping notices to be transmitted electronically without the need for manual input. This streamlining of communication enhances efficiency, reduces the likelihood of errors, and speeds up business processes.

Utilizing EDI helps companies save time and resources that would otherwise be spent on paper-based transactions, enabling them to operate more smoothly and focus on core business activities. The adoption of EDI is particularly significant in sectors like retail and logistics, where rapid and accurate exchange of data is vital for effective supply chain management and customer service.

The other options, while relevant to different aspects of business operations, do not encapsulate the core purpose of EDI. Handling customer complaints involves customer service functionality, marketing products pertains to promotional activities, and storing paper documents relates to record-keeping rather than data exchange. Thus, the correct option clearly highlights the fundamental role of EDI in modern business interactions.