A Virtual Private Server (VPS) provides a cost-effective and secure platform for running applications like business websites. While shared hosting can cause resources to be depleted by other sites, a Windows or Linux VPS allocates resources separately for each site, avoiding slowdowns. Windows VPS is easier for non-technical users but may require more skills as sites grow, while Linux VPS is more affordable and scalable for growing companies. Key choices for hosting include VPS, shared hosting, or dedicated servers depending on needs and budget.