The `ORDER BY` clause is a fundamental part of SQL queries. It allows you to arrange the output of a query based on one or more columns. When you specify `ORDER BY column_name ASC`, the results are sorted in ascending order, meaning the smallest values appear first, followed by progressively larger values. This is essential for tasks like displaying customer data sorted by name, product listings sorted by price, or showing sales figures in chronological order. Ascending order is the default if you omit the `ASC` keyword. The `ORDER BY` clause is applied *after* the `SELECT` statement has retrieved the data. It's important to understand that `ORDER BY` only affects the *display* of the results; it doesn't change the underlying data in the table. For example, if you sort customers by name, the customer records in the database remain unchanged; only the order in which they are presented in the query result is modified.