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A shared web hosting service or virtual hosting service (VPS) or derive host refers to a web hosting service where many websites reside on one web server connected to the Internet. Each site "sits" on its own partition, or section/place on the server to keep it separate from other sites. This is generally the most economical option for hosting, as many people share the overall cost of server maintenance.
A dedicated hosting service, dedicated server, or managed hosting service is a type of Internet hosting in which the client leases an entire server not shared with anyone. This is more flexible than shared hosting, as organizations have full control over the server(s), including choice of operating system, hardware, etc. Server administration can usually be provided by the hosting company as an add-on service. In some cases a dedicated server can offer less overhead and a larger return on investment.
Now its depend upon your requirements what you need and what you want.
If you can afford dedicated hosting then its best among all but if you cant then i suggest you to try shopaserver.com . There support is awesome and price is excellent, just $2.5 a month.
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