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A router is a device that is used to connect two or more computers or devices to each other and usually to the intenet, via wired cables, or through a wireless signal.
This allows several computers to connect to eachother and to the internet at the same time. If this was done through cables, then each computer would have to be separately connected to the router.
Many routers that are used today are wireless, allowing computers to connect without cables to eachother and to the internet. These routers generally have one "input" port (for the internet) and four "output" ports for computer. These connections if not wireless, are generally connected to a computer via an ethernet cable.
More technically, a router is a networking device whose software and hardware are usally tailored to the tasks of routing and forwarding information. Unlike a network hub that does not do any routing, instead every packet it receives on one network line gets forwarded to all the other network lines.
According to Wikipedia a Router is:
"A router, pronounced /'ra?t?r/ in the United States, Canada, and Australia, and /'ru?t?r/ in the UK and Ireland (to differentiate it from the tool used to rout wood), is an electronic device used to connect two or more computers or other electronic devices to each other, and usually to the Internet, by wire or radio signals."