The discussion focuses on understanding the Squeeze Theorem, which states that if two functions converge to the same limit and one function is bounded by the others, then the squeezed function also converges to that limit. The example provided involves the function g(x) = x sin(1/x) and demonstrates how to apply the theorem by using the bounds of -x^2 and x^2. Participants clarify that the Squeeze Theorem is particularly useful for functions that oscillate and are bounded. There are no strict rules for when to use the theorem, but it is commonly applied in specific scenarios. Overall, the Squeeze Theorem provides a method for determining limits of complex functions through bounding.