Very interesting! Here are my immediate thoughts.

Is a multi-level branches hierarchy via parent-child relationship really 
necessary? Do you really plan to have something like that? (with your 
example):

  Dewey Library
    John branch
      John-John sub-branch
      Caroline sub-branch
    Melvil branch
  Ranganathan Library

I see 3 obvious levels, no more, in the vast majority of situations:

   1. Koha -- global settings
   2. Library -- settings for each library
   3. Branch -- branches belong to one library inherit parameters from
      it and can override some of them

Then you enable/disable multi-libraries, multi-branches functionalities.

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