A web directories are a pool of links of similar categories. If you have a website on shopping, for example, you can sign on for a web directories related to shopping and put your link there. It is a good way for people to find your site.
The Internet has so much information that it needs a good system to file this information. Web Directories are one of them and the other would be a search engine or a tagging system. If you are doing an online business, maybe you can think of using web directories to help you.
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