Our understanding is that Pimcore is not a multi tenant solution, rather a company could set up a division with its own users and product catalogs. Is that correct?
Yes, because each instance of Pimcore writes into one separate, single database. To write into multiple databases, multiple instances would have to be set up. Pimcore helps companies gain ownership of their own users, data and product catalogs (based on individual company structure, product data, and business model).