Same idea, but with a catch. You can put folders here to make dropdown menus. If you drag an application or document over the Start button, a shortcut appears on the Start Menu. This is the bottom part of the start menu.
Most programs install their shortcuts here.
Anything you add here will be seen by all users with accounts on your machine. You can even drag a shortcut to the SendTo folder into the SendTo folder itself so you can easily add things to the SendTo folder.