Corporate websites and even smaller ones often require the entire resources of a server, in some instances multiple servers as well. This is necessary to optimize performance of a website for its users; management of websites, web hosting and choosing the best hosting option are quite difficult to figure out. Primarily, the choice is thrown up between two approaches - dedicated hosting or virtual hosting.
Let's take a look at dedicated hosting.
A dedicating server allows a client to rent physical server space from a hosting services provider and have complete access and control over resources offered by the physical server without having to share space with other users as in shared hosting. This type is enormously suited for business or corporate websites that see huge amounts of web traffic and those that host enterprise CMS sites and very intensive CPU applications.

Pros

• Dedicated servers offer fully dedicated resources such as CPU, RAM etc. to the user; in short, it means that resources are not shared and hence performance is enhanced

• Complete control of physical server as compared to a virtual server that most often hosts other virtualized machines or servers

Cons

• Dedicated servers are more expensive in terms of usage and maintenance costs

• Hardware maintenance restricts downtime as any work can be done only during the window allocated by the hosting provider

Virtual private hosting server is a kind of web hosting which uses software that emulates multiple servers located on a single virtual host. This type of hosting treats each website as if it was on a separate machine and allows complete independence. Virtual hosting servers give clients a third viable option between shared hosting and dedicated hosting plans.

However, as with dedicated hosting, there are some pros and cons here as well.