Step 1: Understand speciation.
The formation of new species, known as speciation, typically requires a separation of gene pools, often resulting from isolation.
Step 2: Review the options.
- Isolation prevents gene flow between populations, leading to the accumulation of differences that result in speciation, making it a crucial factor.
- Mutation introduces genetic variation, but it alone does not guarantee the formation of new species.
- Variation provides the raw material for natural selection but is not in itself sufficient for new species formation without isolation.
- Competition affects survival and reproductive success but does not directly lead to the formation of new species.
Step 3: Conclude.
Isolation is a key factor that contributes to speciation, making option (A) the correct answer.
Final Answer:
\[
\boxed{\text{Isolation}}
\]