An MVP (Minimum Viable Product) is the simplest version of a product that already solves the user's core problem and can ship to learn from real usage. The goal is not to be small for its own sake, but to validate the business hypothesis with the least possible effort before investing in the full product.
Why it matters
Most products fail by building something the market does not want. The MVP flips the logic: instead of months of development in the dark, you ship the essentials, put it in real users' hands and let data guide what comes next. That reduces risk, cost and time to the first validation.
In practice
Airbnb started as a simple site renting air mattresses; Nubank started with just its purple credit card, no account or investments. The classic mistake is confusing "minimum" with "poorly made": a good MVP cuts scope, not quality. It does few things but does them well, and is built to evolve without throwing the code away.