Product research involves analyzing market trends to find products with high sales and good profit margins. The steps in product research include finding products that meet specific criteria like having a sales volume of at least 300 units and a revenue of $7,000 or more while maintaining a profit margin of 30% or higher. Key aspects of product research include identifying 3 main keywords with search volumes over 2,000, ensuring there are no patent or trademark issues, and analyzing positive and negative reviews to identify opportunities.