A domain name in its simplest form is just an Internet Website address. Just as your house or apartment has its own unique identifying address for the post office, so does each and every Website in existence.
The domain name system was originally created for the benefit of humans. The actual address used by computers is numerical in format and is referred to as an IP, or Internet Protocol, address. An IP address takes the form of four series of numbers separated by periods. An example of an IP address is 215.55.258.145, and as you can see this would not be easy for most of us to remember. So to compensate, the domain "name" system was created. Its much easier to remember a website named "thiswebsite.com" than it is to remember a number such as the one above, right?
In the business world, domain names are becoming as common as telephone and fax numbers. If your advertisements and business cards don't display a domain name, you run the risk of being completely passed over by customers that prefer to browse merchandise and services online.
A good domain name is vital for a business. If the name does not match your business name or slogan then it must be closely related to one or both. Your domain name must also be easy to remember so that customers do not have to work hard to find your site online. Having a registered domain name with a live Website is sometimes the first priority for a business today, because it is a very inexpensive way to get your business name and information in front of the public.
Other primary reasons for a business to register one or more domain names is to protect copyrights and trademarks, secure unique product names and increase their brand awareness with the public.