The video tutorial explains how to create and use hierarchies in Power BI matrices. It covers the basics of setting up a matrix, using plus and minus buttons to expand or collapse data, and adding fields to hierarchies. The tutorial also demonstrates how to navigate through different levels of hierarchies using buttons and how to create hierarchies in columns. The process is simplified by drag-and-drop actions, making it easy to explore and utilize hierarchies for creating reports or dashboards.

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