Water-holding capacity is an important quality attribute of fresh meat. It is closely related to eating quality attributes such as tenderness, juiciness and color. Water-holding capacity also affects the mass of meat when marketed. Therefore, water-holding capacity has a focus of attention in the meat industry. This paper reviews the fundamental theory of the water-holding capacity of meat and its recent developments. A brief introduction is given to the microstructure of muscle and water distribution in muscle. The roles of electrostatic forces, osmotic pressure, and capillary forces in the water-holding capacity of meat are summarized, and the methods used for water-holding measurement are reviewed. Finally, the latest research progress on the water-holding mechanism in meat is discussed with a focus on net charge and microstructure. This comprehensive review will provide a theoretical basis for meat research and production.