The minimax algorithm is a decision-making strategy used in game theory and artificial intelligence. It helps players minimize their possible losses while maximizing their potential gains. The algorithm evaluates all possible moves in a game, assuming that the opponent will also play optimally to minimize their losses. In a typical two-player game, such as chess or tic-tac-toe, minimax explores the game tree, assigning values to each possible outcome. The player then chooses the move that leads to the best possible outcome, considering the opponent's best responses. This approach ensures a rational strategy in competitive environments.