Conduction is one of the three methods of heat transfer (the others being convection and radiation). Conduction involves the transfer of heat via direct contact with a solid medium. In conduction, heat or thermal energy moves from the hotter region to the colder region.
In this question, an example of conduction is the act of "Touching a stove and burning your your hand". The stove is acting as the solid medium here, with the heat being transferred from the hot object (stove) to the less hot one (hand) via touch (direct contact).
