What is taxonomy in business?

Taxonomy in business refers to the systematic classification of products, services, and other business elements into meaningful categories and subcategories. This is done for the purpose of organizing and structuring information in a way that makes it easier to navigate and locate specific items within a company's inventory or operations. Taxonomy is particularly important in e-commerce and content management systems, where it helps to improve search functionality and make browsing and purchasing more efficient for customers. Effective taxonomy also allows businesses to identify patterns and insights in their operations, which can inform strategic decision-making and improve overall performance.