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The tutorial focuses on creating a new sales fact table using data from a location table. To begin, users navigate to the Power Query editor by clicking "Transform Data." They then utilize the "Merge Queries" feature found under the Home tab, selecting the option to merge queries as a new one to avoid altering the existing sales prep query. In the merge window, they choose the sales prep table and select the location table from a drop-down list. The aim is to integrate the location ID into the sales table. This allows for the removal of the location and country columns while using the location ID for referencing purposes in the new sales fact query.