There are different types of databases. One type is the relational database where data is organized in tables. On the other hand, hierarchical database is a database where records are connected to other records in a family tree (Santoso, Haw, & Abdul-Mehdi, 2011). In the analogy, the cabinet has several drawers. Each drawer has records of a given type. If the entrepreneur gets another drawer which will handle bills of different category,then this will be compared to a relational database. If there are bills for different category in the drawers, the drawers could be identical. The entrepreneur could start farming as another venture. The bills for the various farming transactions are stored in the farming drawer. There could be electricity bills for farming, electricity bills for the business and so forth. These electricity bills are related to the various drawers. For the connection to be made, the various drawers could be connected where they represent identical records. If there are various ventures and businesses that the entrepreneur starts, then there will be drawers for each venture. This will be compared to relational database (Santoso, Haw, & Abdul-Mehdi, 2011).
On the other hand, if the entrepreneur decides to use one drawer and instead have subdivisions inside the drawer, it will be something else. An illustration is that the drawer of electricity bill could have envelopes for various electricity bills for different projects. In this case, the house of the entrepreneur houses the cabinet. The cabinet houses many drawers. The drawer houses different envelopes for different projects. The envelopes has bills. This is an example of hierarchical databases where the different records relate to the parent record in a hierarchical manner. In this case, the house is the root record.
Santoso, H. A., Haw, S. C., & Abdul-Mehdi, Z. T. (2011). Ontology extraction from relational database: Concept hierarchy as background knowledge.Knowledge-Based Systems, 24(3), 457-464.