A Business Object Type is a logical grouping of administrative data that defines and governs a particular set of functionality. Each Business Object Type consists of the collection of data (e.g. entities) that are required to configure the system to use and/or act on the functionality that it represents.
For example, the set of administrative data related to a Benefit Product involves grouping the entities related to Benefit Product such as Product, ProductDeliveryPattern, ProductCategory, etc. So, Benefit Product is a Business Object Type. For further examples, please refer to Appendix A of the Cúram Configuration Transport Manager [Bibliography].