Learn German: Die Fahrbahn war nass. Infolgedessen bremste sie der Situation entsprechend. - The roadway was wet. As a result, she braked according to the situation.

The word entsprechend (according to) can be used as either a preposition (before the noun) or a postposition (after the noun). When it comes after the noun, as it does here, it often sounds more elegant and is very common in written German. In both positions, it takes the dative case.

Why is it der Situation when Situation is a feminine noun?

The word entsprechend always requires the dative case. In the dative case, the feminine article die changes to der.

What type of word is Infolgedessen and how does it affect the sentence structure?

Infolgedessen (as a result / consequently) is a connecting adverb. Because it takes up the first position in the clause, the conjugated verb bremste must come right after it in position two, pushing the subject sie to position three.

Could I just use deshalb instead of Infolgedessen?

Yes, deshalb or darum would mean the exact same thing and use the same word order. Infolgedessen is simply a more formal, advanced vocabulary choice that you will often see in news reports or written narratives.