Hello @Anup Kumar
The auto-failover groups allows you to manage the replication and failover of a group of databases on a server or all databases in a managed instance to another region.
I think this architecture sample will help you to understand the concept
Premium tier is deployed on a single node where as Business Critical is also placed on a single node but that node is replicated via zone redundancy with Always On Availability Groups in the same data center via a quorum set.
The Standard/General Purpose service tier uses a separation of compute and storage, which makes high availability and reliability under the arm of the storage architecture, which allows for redundancy across regions, when enabled.