Level in product hierarchy ??

Hi
Some body can explain me about the levelin product hierarchy ??
Diefinition of level ?
Purpose of level??
Thanks

Product Hierarchy:
Product hierarchies are the domain of materials management. A product hierarchy is assigned to the material master record. This hierarchy is broken down into specific levels, each level containing its own characteristics. A product hierarchy is recorded by the sequence of digits within a hierarchy number. This hierarchy number may have a maximum of 18 digits with a maximum of 9 levels. The custom Product hierarchies can be maintained in V/76.
Product Hierarchy Number of chars at Various level
In the standard system, the product hierarchy consists of up to 3 levels. The first and second levels have 5 digits and the third level has 8. The maximum number of digits is 18 and the maximum number of levels is 9.
You can define hierarchy nodes at the individual levels of the product hierarchy.
The product hierarchy can be structured via DDIC structure PRODHS. In the standard system, a product hierarchy can be created with up to three levels. The individual levels can contain the following number of digits:
Level number of allowed digits
1 5
2 5
3 8
This can be changed as of Release 3.0, where it is possible to extend the maximum number of levels to 9.
If you want to change the standard setting of PRODHS, e.g. you want to change the number of levels, proceed as follows:
1. Create an appropriate domain in the Data Dictionary (type CHAR with the required length).
2. Assign these domains to the standard data elements PRODH1, PRODH2, ..., PRODH9.
Please note that you should use these standard data elements.
3. Change the structure PRODHS by creating or deleting fields with reference to the data elements.
Choose ZZPRODHN as field name, where n is the position of the field in the structure PRODHS.
You want to change the structure of the product hierarchy from 5/5/8 digits to 5/5/5/3. Proceed as follows:
Create the following domains:
ZPRODH3 with length 5, category CHAR,
ZPRODH4 with length 3, category CHAR,
Change structure PRODHS:
Structure PRODHS in the standard system:
Structure Fields Data element Category Length
PRODHS ->
PRODH1 PRODH1 CHAR 5
PRODH2 PRODH2 CHAR 5
PRODH3 PRODH3 CHAR 8
Changes according to example:
Structure Fields Data element Category Length
PRODHS ->
PRODH1 PRODH1 CHAR 5
PRODH2 PRODH2 CHAR 5
PRODH3 PRODH3 CHAR 5
ZZPRODH4 PRODH4 CHAR 3
please take help of ABAPER in extending the levels of Product hierarchy
Configure for Product hierarchy at
SPRO -> IMG -> Logistics - General -> Material Master -> Settings for Key Fields -> Data Relevant to Sales and Distribution -> Define Product Hierarchies

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