This term means handling things correctly according to realities of the situation. The term was originally used to describe the rigorous attitude of ancient Chinese scholars who paid great attention to acquiring solid facts in order to arrive at the correct understanding or conclusion. Later, it has come to mean expressing ideas or handling matters according to reality. It is a methodological principle on cognition and a fundamental principle underpinning behaviors and ethics. Basically, it calls for behaving in a practical, realistic, and honest way.

Liu De, Prince Xian of Hejian… loved to study history and always sought the right understanding based on thorough grasp of evidence. (The History of the Han Dynasty)