"Little Red Corvette" is one of Prince's most well-known songs and a defining point in his rise to superstar status. The song was his biggest hit at the time, and his first to reach top-10 status in the U.S. It was also his first single to perform better on the pop chart than the R&B chart, due to the pop/rock format of the song. The song officially introduced Prince to the white listening audience, and the racial makeup of his audiences changed drastically after the release of this single.

The song combines an infectious drum machine beat and slow synth buildup for the verses and a full rock chorus. The guitar solo, played by band member Dez Dickerson, was ranked #64 by the readers of Guitar World as one of the 100 best guitar solos of all time. Backing vocals were done by Lisa Coleman. In the song, Prince narrates a one-night stand with a beautiful but promiscuous woman (the "Little Red Corvette" of the title); although he enjoys the experience, he urges her to "slow down" and "find a love that's gonna last" before she destroys herself. In addition to the title, he uses several other automobile metaphors, for example comparing their lovemaking to a ride in a limousine. The term "Little Red Corvette" has also been suspected to refer to a vagina or clitoris. Further more the lyrics "Im gonna try 2 tame your little red love machine" supports the notion of his metaphorical reference to a vagina or clitoris

A 12" dance remix of the song was released to accompany the single and it continues where the album version fades out. The US single was originally released with the album track "All The Critics Love U In New York" as the B-side, while in the UK two separate single releases had it backed with "Lady Cab Driver" or "Horny Toad". Separate UK 12" releases had the song paired with "Automatic" and "International Lover" or "Horny Toad" and "D.M.S.R.". Later, it was a double A-side with "1999".

In 2001, Chevrolet put up billboards with a picture of a red 1963 Corvette Sting Ray that stated, "They don't write songs about Volvos."(An act called The Medallions actually brought out a song called "'59 Volvo" in 1959). In 2003, Chevrolet used this in a commercial that aired for the first time during the Grammys. The ad showed old footage of The Beach Boys performing "My 409" followed by Don McLean singing "American Pie" ("drove my Chevy to the levee"), and then Prince performing "Little Red Corvette".

On the 2006 compilation album, Ultimate, the dance remix of "Little Red Corvette" was a featured track.