The concept of distribution centres and risk pooling have been used by many companies to increase the efficiency of their goods distribution. These distribution centres are placed at strategic locations to cater for the demand of specific region. As such, the location of the distribution centres and the number of distributions will have to be optimized in order to increase the overall profit. To demonstrate the impact of risk pooling and distribution centres in real life, we challenge ourselves to find the most optimal way to distribute avocadoes in the US. We took an online dataset of avocado demand and try to find the best locations and number of distribution centres that are needed to be built by using Clustering Algorithm and optimal order quantities of the regions.