React with TypeScript and Parcel is a powerful combination for efficient development.Parcel offers automatic code splitting, tree-shaking, and first-class TypeScript support.Setting up a React application with TypeScript and Parcel provides a streamlined foundation.Parcel analyzes imports, dependencies, and bundles them into optimized output.Installing necessary tools like Node.js, npm, TypeScript, and Parcel is the starting point.Parcel handles output directories and eliminates the need for manual creation.Removing unnecessary 'main' field in package.json is essential for web applications.Parcel automatically detects and compiles TypeScript, JSX, static assets, and optimizes builds.Configuration in tsconfig.json guides TypeScript compilation while Parcel manages output.Customization options with .parcelrc file for advanced settings in TypeScript projects.