A domain name is nothing more than an alias for a numeric web address. Each website on the internet has a numeric address that functions like co-ordinates on a map.
Computers have no problem in remembering numeric addresses but people do.
To make surfing the web easier, the domain name system was invented, allowing people to remember names for websites instead of number sequences. The TLD is that portion of the name that appears furthest to the right, for example, the co.za in business day.co.za. The second level domain consists of a trademark or trade name of the holder of the domain name, e.g. businessday. The practice of cybersquatting involves registering someone else's trademark name as a domain name. This is done by the cybersquatter in order to sell the domain name back to the rightful trademark owner, or the highest bidder.