Assuming a vector space V and it's basis set $\{\vec{e}_\nu\}$. A vector $\vec{v}$ can be written as: $\vec{v}=x^\nu\vec{e}_\nu$ where $x^\nu$ is the corresponding contravariant coordinate. We can choose another basis set $\{\vec{e'}_\mu\}$ and perform a transformation in order to find the coordinates of the vector $\vec{v}$ in the new basis. The transformation is:
$$x'^\mu=\frac{\partial x'^\mu}{\partial x^\nu} x^\nu \tag I $$
$\frac{\partial x'^\mu}{\partial x^\nu}$ is a (1,1) tensor living in the tensor product space spanned by :$\ e_{\mu}\otimes e^{\nu}$. Let's call the tensor $T$. The components of $T$ can be written as: ${T^{\mu}}_{\nu}$. I would like to know what happens formally when we "apply" the tensor on the vector in order to perform the transformation. Is the word "apply" even correct?
Physicists only worry about the components. Contraction is simply removing indices which are appear both as lower and upper. I want to know what happens to the basis. The contraction results in: $x'^\mu={T^{\mu}}_{\nu} \ x^{\nu}$. What I don't understand is what is happening to the basis. Are we formally forming a bigger tensor product space by multiplying $\ e_{\mu}\otimes e^{\nu}$ by $e_{\nu}$ i.e. $\ e_{\mu}\otimes e^{\nu}\otimes e_{\nu}$? Or is $\ e_{\mu}\otimes e^{\nu}$ acting as an operator on $e_{\nu}$, so we have: $\ e_{\mu}\otimes e^{\nu}(e_{\nu})$? and then using the formula $e^{\mu}(e_{\nu})={\delta^{\mu}}_{\nu}$ to finally have $e_{\mu}$ left only? If so, isn't delta itself a (1,1) tensor? So how is the dimension of the tensor product being reduced to 1?
Part of the confusion arises from the Kronecker delta itself. In Wikipedia (http://en.wikipedia.org/wiki/Kronecker_delta) it is said to be a (1,1) tensor which can act as one of the three cases: 1) Identity mapping $V \rightarrow V$ or $V^{*} \rightarrow V^{*}$ 2) Trace or contraction $V \otimes V^{*} \rightarrow K$ 3) Scalar multiplication $K \rightarrow V \otimes V^{*}$ (please see Generalization of Kronecker delta in the wiki link provided). Can someone clarify how can a single object be considered as various mappings?