How would you explain shared hosting to the layman and what are the challenges associated with it? You can use the analogy of a shared apartment, what are the problems and advantages associated with it would be the same when you share a server. The feeling would be the same in sharing an apartment, the place could be congested. But the reason why people share is to cut costs which is the case when you share a server. As compared to dedicated servers shared hosting is less expensive. If you cant afford a dedicated server then start with a shared server and look for a service provider who can provide you the best service in the lowest cost.