Products feature is available in Sales Pack extension. Product items can be used with Opportunity and Quotes. They are also available for a customization in Entity Manager so you can create new relationships between products and other entities.
Each Product record can belong to some Product Category. Product Categories are presented as a hierarchical tree structure. Each category can have sub-categories.
A product record has three price fields: Cost, List and Unit. There is an ability to automatically calculate Unit Price using different formulas according to a selected Pricing Type. A product price can be also defined in a Price Book.
Products can be added as line items to order records such as Quote, Sales Order, Invoice and Purchase Order.