The letters are the different “open” chords on a guitar in standard tuning. Chords are made up from notes of a scale, so you can match the chord shapes to a scale shape.
Now the chord shape is really a set of relationships notes that we call intervals. So, if you move the whole shape higher up on the neck all the notes change and you can use your “C” shape to play a C# chord (one fret higher) or an G chord (6 frets higher) or whatever. Basically you remember the pattern and you can move it to whichever notes you need.
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