Alfred Adler broke from Freud and developed his own theory of Individual Psychology. He believed people are motivated by goals and strive for perfection and superiority. Key concepts include people's unique style of life, feelings of inferiority, and the influence of birth order and family experiences in early childhood. Adler identified four major lifestyle types and used techniques like early recollections and dream analysis to understand people's goals and lifestyle. While not precisely testable, Adler's theory made important contributions and has applied value in understanding personality development.