Equilibrium is a dynamic state where the rates of the forward and reverse reactions are equal, resulting in constant concentrations over time. The equilibrium constant, Kc, relates the concentrations of products and reactants at equilibrium and can be used to determine whether a reaction favors products or reactants. Factors like temperature, pressure, and concentration can influence the position of equilibrium according to Le Chatelier's principle, shifting it to counteract imposed changes and relieve stress on the system.