Categorizing products

I'm very much a beginner to Drupal, so I apologize ahead of time for sounding dumb. I certainly feel very dumb for not being able to figure this out. :(

On the "Add Product" page, I absolutely cannot figure out how to configure taxonomy terms to show up as dropdown menus at the bottom in the Product Catalog section. I've included a couple of images to demonstrate what I'm talking about.

The first one shows how it looks on a demo site. I'm trying to set mine up in a similar way.

The second one is what I currently have on my non-demo site.

Posted: Jan 15, 2013
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