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Partner Processing and Business Partner Master Data 
Business partner master data is a crucial source of information for partner processing, and relationships are the most important aspect of this information. Relationships exist in two forms: general relationships and sales area-specific relationships. A general relationship is a relationship that includes no
sales area data. A sales area-specific relationship includes data on one or more sales areas, and is only valid for those areasA general relationship is valid for situations in which the system does not require sales area-specific information. You determine that it is general by not assigning it to any sales areas when you create it.
A sales area-specific relationship is valid only for sales areas that you specify when you create the relationship. You can create sales area-specific relationships only for partners maintained in roles where sales area data is relevant, such as the Sold-to party. In the system, sales area-specific relationships are known as sales area-specific partner function assignments.
When you create a sales area-specific partner function assignment, the system automatically creates a corresponding general relationship at the same time. For example, if you define David Wilson as the contact person for Johnson Electronics for sales area 1000, the system also enters him as a general contact person for Johnson Electronics. The system sees the sales area-specific partner function assignment as one use of a general relationship.
How is it possible to assign a relationship category in one case and a partner function in the other? It is possible because relationship categories and partner function categories are linked in the system. For more on how they are linked, see
Partner Functions.For more information, see
Business Partner Relationships.

Example
Creating a general relationship:
Although your company has three sales areas, you assign the relationship to none of them. It is then a general relationship.
Creating a sales area-specific partner function assignment: