What if we don't want to ID every individual item. Can we use an ID for a container or pallet of items?

You can have Item IDs at whatever level of precision you want. In general, the more precise, the better traceability you will have.

If you wish, for example, to track a pallet of incoming boxes without identifying each boxes, that will give you pallet-level traceability.

You have to decide whether this will work in your scenario and how the unidentified boxes will be identified at a later time, or how to avoid loss of traceability of unidentified boxes when they get moved to new locations.

Keep in mind that ItemPath does not let you track quantities within an Item.