What is the origin of the idiom "go one better than somebody or something" and when to use it?

The origin of the phrase can be traced back to horse racing. In horse racing, when a horse wins one race, the owner may enter it into another race in the hopes of winning again. If the horse wins the second race, it is said to have "gone one better" than its previous victory. The phrase eventually came to be used in a broader sense to refer to any situation where someone outdoes or surpasses a previous achievement. It has been used in this sense in literature and popular culture, and is still commonly used today.