NTFS has certain permissions set on who can read, write, delete, execute a file/folder. NTFS permissions apply to both network and local users.
Permissions
Full Permissions list can be found here: https://www.ntfs.com/ntfs-permissions-file-folder.htm
Permission Hierarchy
More restrictive permissions are applied. Explicit Deny > Explicit Allow > Inherited Deny > Inherited Allow
Editing Permissions
Folder Permission Inheritance
Subfolders inherit the same permissions as the parent folder.
Explicit Permission
A child folder that has explicit NTFS permissions will ignore permission inheritance
File Permission Propagation
How permissions will change for a file moved or copied to a new directory
