Prokaryotic transcription involves three main stages: initiation, elongation, and termination. Initiation begins when RNA polymerase binds to DNA at a promoter sequence, which contains -10 and -35 consensus sequences. Elongation then occurs as RNA polymerase moves along the template strand and adds nucleotides to the growing RNA chain. Termination can happen via either intrinsic or rho-dependent mechanisms, with intrinsic termination forming a hairpin structure in the RNA and rho-dependent termination involving the rho protein disturbing the RNA-DNA complex.