Pointers provide a way to access and manipulate variables indirectly through memory addresses. A pointer variable stores the address of another variable. Pointers allow dynamic memory allocation and more efficient data manipulation. They are useful for implementing data structures like linked lists and arrays. Pointers can be declared, initialized, and dereferenced using operators like asterisk (*) and ampersand (&). Arithmetic operations on pointers modify the address they point to rather than the underlying value.