A magnetic core is a piece of magnetic material with a high magnetic permeability used to confine and guide magnetic fields. By using a core of high permeability we become able to produce very much field so very much flux to the secondary coil and which lead in a good coupling of coils thus the good efficiency of transfer the power from primary coil to secondary coil.
we know the field is proportional to μ which is called magnetic permeability of the medium.