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Deployment holds all the target environment details of your product
Deployment holds all the target environment details, like Sprint, Staging or Prod environment. The test execution can be performed on one of the deployments.
To know how Deployment works. To clearly understand lets get into a example.
An Organization having a QA Team and Developer Team, both the teams will be running their work on same Websites. A changes made by developer team on a website will not be affecting the work done by the testing team website. There will two separate versions of website will be maintained.