Definition

A category that determines the usage of an account hierarchy.

Use

A hierarchy structure can have different functions and thus also different hierarchy categories. The hierarchy category is used for classification and can therefore be freely chosen. The hierarchy category “Pricing”, for example, is used for pricing purposes.

You can assign a business partner to several hierarchies with various hierarchy categories.

You define hierarchy categories in Customizing for Customer Relationship Management , by choosing  Master Data Business Partner Account Hierarchy Define Hierarchy Category .