Entity Resolution is a crucial data management process that connects and merges records related to the same real-world entities across various databases or within a single one, improving data quality and reliability in B2C retail by providing a comprehensive understanding of customers for personalized marketing and customer service. To address the entity resolution problem, Python libraries like Dedupe can be used to link and deduplicate records, requiring data cleaning and standardization, training, blocking, and resolving duplicates to create accurate customer profiles, enhancing business strategies and data governance.