Multiple threads can exist in a single process. The threads that belong to the same process share the same memory area (can read from and write to the very same variables, and can interfere with one another). On the contrary, different processes live in different memory areas, and each of them has its own variables. In order to communicate, processes have to use other channels (files, pipes or sockets).
If you want to parallelize a computation, you're probably going to need multithreading, because you probably want the threads to cooperate on the same memory.
Speaking about performance, threads are faster to create and manage than processes (because the OS doesn't need to allocate a whole new virtual memory area), and inter-thread communication is usually faster than inter-process communication. But threads are harder to program. Threads can interfere with one another, and can write to each other's memory, but the way this happens is not always obvious (due to several factors, mainly instruction reordering and memory caching), and so you are going to need synchronization primitives to control access to your variables.
Taken from this answer.