Vector images use mathematical formulas to create shapes rather than pixels, making them easier to manipulate without quality loss. Bitmap images are composed of pixels arranged in a grid, with each pixel assigned a color value. GIF images are suitable for drawings and images with a limited color palette, while JPEG is better for photos as it can heavily compress files sizes with some quality reduction each time the image is saved. Embedded graphics become part of the file they are inserted into and move with the file, while linked images remain separate but connected files. Lossless compression allows for original data to be stored in a reduced format without quality loss, like with ZIP and PNG files, while JPEG is commonly used for photos with some quality degradation each time it is saved