Creating "products" to organize props

I am trying to organize my props from various prop sets so I can find them easier.  I am creating "products" of certain groups such as "Coffee items" or "Chairs" or what not?  How do I add new items to my "products" so that I do not have some in Chair and some in Chairs?  Which I apparently just did.  So is there a way to delete a custom "product" without deleting the contents?  Is there a way to merge custom "products"?

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