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In this video tutorial, Spreadsheet Geek explains the concepts of normalizing and standardizing data in Microsoft Excel 2019. Normalization involves scaling numerical values to a specified range, usually from zero to one. This is done through manual formula entry as Excel 2019 does not have a specific normalization function. It is important to differentiate between normalization and standardization, with the former focusing on scaling values and the latter on making data follow a standard distribution.