You get two different blockchains propagated in the network. Both are valid and you get two versions of the truth which are competing against each other. Each node decides by its own which is the valid chain (from its current state of knowledge). The simple rule is that the blockchain with the highest Work wins the competition. The total Work is calculated based on the difficulty (more precise : the target). Practically this is the chain with the most blocks.
A stale block is a valid block added to the blockchain that was finally ignored/dropped/discarded by the network.
Stale blocks occur when a node decides that another blockchain is âstrongerâ - has more PoW ( generally when the other blockchain is longer). All blocks that were newly added (so different from the new blocks added to the âstrongerâ) become stale blocks.
It reduces the risk that the block, your transaction is in, will become a stale block. When this happens, your transaction is not in the blockchain any more (because it was in the âwrongâ one). The more blocks you wait the more sure you can be that your transaction is in the ârightâ blockchain.