Metaphorically speaking, web hosting is like renting space in a building.
We maintain several servers (buildings) and within these servers are packages (suites) that allow you to store your website content (furniture). Essentially you are renting web space in the same way you would rent physical space.
Conversely while a website is stored on our server, most maintenance – such as ensuring the lights stay on (uptime), the water keeps flowing (email) in and out of your space and no one breaks into your website or email (security) – is our core responsibility as the building caretaker (the hosting company).
Using the same analogy, domain names are similar to having a phone number that directs people to your web site. Web design and web development would be similar to interior decorating for your space.