Beta-oxidation is the metabolic process where fatty acids are broken down in the mitochondria to produce ATP, crucial during fasting or prolonged exercise. The pathway includes four main enzymatic steps: oxidation, hydration, a second oxidation, and cleavage, ultimately yielding significant energy. Understanding beta-oxidation is important for diagnosing metabolic disorders like carnitine deficiency and medium-chain acyl-CoA dehydrogenase deficiency.