What are the primary differences between a hosting service like GoDaddy and a cloud based hosting like Amazon Web Services? I could not distinguish and between hoisting services from Aws and Godaddy? which is better?
Services provided by AWS and GoDaddy are not in the same category.
Godaddy (and several other providers like BlueHost, HostGator, NameCheap etc ..) provide web hosting for individual or small company, mostly with shared hosting plans and few other services like VPS or dedicated hosting.
AWS (and several other providers like DigitalOcean, Google Compute Engine, Linode, Vultr etc ...) provide cloud computing services. Mostly with virtual servers (EC2) and object-storage (S3). They only provide an infrastructure, but you will not find any shared hosting plan on AWS, and you will have to setup and manage your servers yourself or to hire an technical partner to do the job.