When activated, an uncompressed file separate from the JPG image will be written on the card for the purpose of editing later.

It can be likened to a digital version of a film negative, where all the information that the sensor has collected will be written as this RAW file.
Use an external photo 
editing software to make adjustments before saving to your intended filetype.

SJCAM RAW files require the RAW2DNG converter (no loss of image information) before it can be used in your photo editing software.

Links to converter file (choose your Operating System):
Windows (32-bit) RAW2DNG
Windows (64-bit) RAW2DNG