What is a pivot table used for in Excel?

A pivot table in Excel is a powerful tool designed specifically for summarizing and analyzing large datasets efficiently. It allows users to rearrange, group, and filter the data dynamically, enabling them to extract meaningful insights without the need for complex formulas or manual calculations. By simply dragging and dropping fields, users can view their data from different perspectives and identify trends, patterns, and relationships within the data.

For instance, if you have sales data that includes product categories, regions, and sales figures, a pivot table can help you quickly generate summaries such as total sales per category or average sales by region. This capability to quickly manipulate and analyze data makes pivot tables particularly valuable for decision-making processes in business and research contexts.