Search engine optimization (SEO) is the process of improving the volume or quality of traffic to a web site from search engines via “organic” search results. Typically, the earlier a site appears in the search results list, the more visitors it will receive from the search engine. SEO may target different kinds of search, including image search, local search, and industry-specific vertical search engines. (http://en.wikipedia.org/wiki/Search_engine_optimization)
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To establish the “importance” of your page, Google looks at how many other websites are linking to your page. These links are like “votes”, and the more “votes” you have, the greater your online “importance” and the higher your PageRank.