Data preparation is a critical step in data analysis, ensuring that raw data is cleaned, structured, and formatted for accurate insights. It involves collecting, cleaning, transforming, and organizing data to make it suitable for analytics, machine learning, and business intelligence. Without proper data preparation, organizations risk inaccurate results, misleading trends, and poor decision-making. The process begins with data collection from various sources, including databases, cloud storage, APIs, and spreadsheets. Cleaning the data is essential, as it involves removing duplicates, handling missing values, and correcting inconsistencies. Standardization ensures that data follows a uniform format, making it easier to compare and analyze.