Dedicated servers are used to power complex applications and high-traffic websites. You might also opt for one if you serve a large quantity of media, such as high-resolution images, audio files, and streaming video clips, or you see very high levels of traffic (or perhaps both are applicable). Dedicated hosting also provides the highest level of security and server customization possible. Also see: Colocation.
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Moving to another website consists of transferring the website’s files and databases, configuring your site with the new host, and directing your domain’s DNS to the new host. Once you pick a new site host, they can usually help you out with this process. The cost will depend on the host you’re switching to, but it will probably be anywhere from $150-$400.