In Business Central, product categories can be structured using indentation to create a visual hierarchy (e.g., parent and subcategories). However, this hierarchy currently has no functional impact on filtering, reporting, or analysis.

As a result, when a product is assigned to a subcategory, there is no way to filter or group products by their parent category in pages, lists, or reports. This limitation forces users to create additional custom fields or attributes to maintain logical groupings of products, which defeats the purpose of having a hierarchical structure.

Suggestion:

• Allow users to filter product lists and reports by parent product categories and automatically include all products from their subcategories.
• Apply this logic across sales reports, inventory analysis, item overviews, and other relevant areas.
• Maintain the current visual indentation but add functional hierarchical behavior.

This improvement would enhance product management, reduce the need for redundant workarounds, and provide more intuitive filtering capabilities for users.