Practical business application of customer hierarchy

Hello Gurus,

Could you please explain in detail a few business scenarios in which customer hierarchy was useful. I would also appreciate if you explain in detail the pratcical application in the following scenarios:

1. Maintaining pricing condition records at each level of the hierarchy- when and how is this done?

2. Partner determination in customer hierarchy

Thank you all in advance

Warm Regards

Prashant Joshi