Caramelizing involves cooking and browning sugar until it turns a nutty amber color and develops a richer, more complex flavor. The process typically involves heating sugar and water in a saucepan until the mixture browns without stirring to avoid crystallization. Watching constantly is important to prevent burning once the sugar reaches an amber color. Other foods like onions and vegetables can also be caramelized through cooking in hot oil or butter and stirring frequently until browned.