It means: "The exchange of VALUES between two parties"
- Transactions are one of the Critically Important Assumptions to call something "A business". If there is no transaction, it is a project or a start-up but not a business
- Startup projects usually build something with no profit at the start hoping that it will get enough attention to turn it into a business
- Pay attention to the word "VALUES" in the definition; you can only trade things that are economically viable
And the other good thing about making transactions (apart from getting paid of course :) ) is that you get to have reliable feedbacks quickly to start or speed up your iteration cycles