Kubernetes resource quotas are essential for managing resource allocation within containerized environments, ensuring that each namespace operates within defined limits to prevent any single entity from monopolizing resources. By using tools like kubectl and Prometheus, administrators can gain visibility into resource consumption and set appropriate quotas to balance system efficiency and performance. These quotas, defined in YAML files, set both minimum and maximum resource limits, which helps maintain cluster stability while accommodating peak usage demands. Best practices include monitoring resource usage, adjusting limits as needed, and utilizing advanced tools like Komodor for enhanced observability and troubleshooting. Komodor provides a comprehensive view of node interactions, enabling users to optimize resource allocation and address potential issues swiftly, ultimately leading to more efficient and cost-effective Kubernetes operations.