Three phase induction motors employ a simple construction made up of a stator covered with electromagnets, and a rotor made up 
of conductors shorted at each end, arranged as a “squirrel cage”. They work on the basic principle of induction where a rotating electro-magnetic field it created by applying a three-phase current at the stators electromagnets. This in turn induces a current within the rotor’s conductors, which in turns generates rotor’s magnetic field that attempts to check out stator’s magnetic field, pulling the rotor into rotation.
Benefits of AC Induction Motors are:
Induction motors are simple and rugged in building. They are better quality and can operate in any environmental condition
Induction motors are cheaper in expense due to simple rotor construction, lack of brushes, commutators, and slip rings
They are maintenance free motors unlike dc motors because of the lack of brushes, commutators and slip rings
Induction motors could be operated in polluted and explosive Induction in Motor environments as they do not have brushes which can cause sparks
AC Induction motors are Asynchronous Machines meaning that the rotor will not turn at the exact same speed because the stator’s rotating magnetic field. Some difference in the rotor and stator speed is necessary to be able to produce the induction into the rotor. The difference between the two is named the slip. Slip must be kept within an optimal range to ensure that the motor to use efficiently. Roboteq AC Induction controllers can be configured to operate in one of three modes:
Scallar (or Volts per Hertz): an Open loop mode where a command causes a simultaneous, fixed-ratio Frequency and Voltage modify.
Controlled Slip: a Closed Loop speed where voltage and frequency are controlled to keep slip inside a narrow range while operating at a preferred speed.
Field Oriented Control (Vector Drive): a Closed Loop Quickness and Torque control that works by optimizing the rotating field of the stator vs. this of the induced field in the rotor.
Find this video from Learning Engineering for a visual illustration on how AC Induction Motors are constructed and function.