Test-driven development (TDD) is a software development process that relies on the repetition of a short development cycle of requirements, design, and coding. It promotes writing tests before writing code (test-first design) and helps improve code quality by reducing defects. The TDD cycle involves writing an automated test, running the test and seeing it fail, writing the minimum amount of code to pass the test, and refactoring the code as needed. TDD brings benefits like clarifying requirements, adding executable documentation, and detecting errors early. Acceptance TDD involves automating acceptance tests to define and validate requirements. It helps establish a definition of done and improves team collaboration.