Thank you, so, shared hosting for one website, VPS for moderate traffic, and dedicated servers for huge traffic. I'm starting to get the the hang of it.For selecting your hosting provider, you have to look at your requirements and your budget. That's it.
VPS can be used when you have one or more websites that requires a lot of resources. It can also be used when you would like to host a number of websites on the same server. It is applicable only when your website is going to have moderate traffic. For huge traffic VPS may not work, that time go for dedicated servers.