A Markov Model is a stochastic model used to predict the behavior of systems that undergo transitions from one state to another on a state space, where the probability of each subsequent state depends solely on the current state and not on any prior states. This property is known as the Markov property, and it simplifies many processes by reducing the amount of historical data needed for analysis, making Markov Models powerful tools in fields like finance, queueing theory, and statistical mechanics.