This is a very simple way of putting it. If you are just starting I would go with VPS servers over dedicated as it is less to deal with and depending on what technolgy you go with the control panel will give you the OOPS factor of a one click restore back to defaults so you are protected. Not a good idea if you have important data on there to use this feature unless you have a good backup. The control panel will also give you these good backup options built right in to help you out.