Set operations in SQL let you combine results from two queries into one list. For example, UNION takes city names from customers and suppliers tables and merges them into one list without duplicates. The process starts by selecting cities from each table separately, then combining them with UNION which removes repeated cities. This is different from joins, which combine columns side-by-side. Set operations add rows vertically. UNION ALL keeps duplicates, while UNION removes them. INTERSECT and EXCEPT help find common or unique rows between queries. These operations are useful when you want to merge or compare data from different tables easily.