To create a product in Dynamics 365, select Products from the menu:
Enter a new item:
Note the option to enter the unit group:
Once you select the unit group, you can select the default unit:
If you select a Unit Group, you will see they have multiple Units:
And a unit has a quantity and base unit:
Once a product is saved, the status is Draft.
Once you publish, you can preview, clone, revise, retire, set to kit: