This theory proposes that ferromagnetic materials are divided into small magnetic regions called domains, with each domain spontaneously magnetized in a different random direction, resulting in no net magnetization. When an external magnetic field is applied, it causes the domains aligned parallel to increase in size through the motion of domain walls or rotation of the domains. The total internal energy of the domain structure includes exchange energy, crystalline anisotropy energy, domain wall energy, and magnetostriction energy.