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A local repository is your own collection of installation elements that you want to be able to reuse in multiple projects. A local repository is stored on your local machine, and it is not available to other installation authors. Examples of elements that can be stored in a repository include end-user dialogs, InstallScript files, merge modules, SQL scripts, system searches, and project templates.
Repositories provide you with the ability to reuse project elements in multiple projects to ensure consistency. They also save you from having to duplicate work. For example, if many of the installations for your organization's products include a particular custom dialog, you can create that custom dialog once and then publish it to your repository. Any time you want to use that dialog in another installation, simply add the dialog from your repository to your project.

