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The term "data hierarchies" refers to the systematic organization of data. This concept involves structuring data in levels or layers, which helps to categorize and manage information effectively. In a data hierarchy, data is organized from the most general to the most specific, allowing for an efficient way to store, access, and manipulate information. This organization often starts with larger categories or entities and breaks them down into smaller, more detailed segments.

For instance, in a relational database, you might have a hierarchy starting with a database itself, which contains multiple tables, each table having various fields, and those fields containing individual records. Such a structured approach is essential for effective data management and retrieval, making it easier for users to navigate through the data and extract meaningful insights.

Exploring the other options helps clarify the context: the sequence of data entry relates to the order in which data is inputted, which is more procedural than structural. The speed of data retrieval focuses on performance aspects, whereas storage capacity pertains to the limits of devices in holding data, neither of which directly address the organization aspect captured by data hierarchies.