1. File and Data Sharing 

At a time, file-sharing consisted mostly of saving documents to floppy disks that could be physically transferred to other computers by hand. With networking, files can be shared instantaneously across the network, whether with one user or with hundreds users, e.g. employees across departments can collaborate on documents, exchange background material etc. 

2. Distributed Computing Power 

In computer networks, we can distribute tasks across multiple computers throughout the network, by breaking complex problems into hundreds or thousands of smaller operations, which are then parceled out to individual computers. Each computer in the network performs its operations on its own portion of the larger problem and return its result. Then, all these results are gathered in such a form that impact as the solution of the complex problem and finally are used for the further task. 

3. Ease of Administration 

Instead of individually upgrading each computer in an organisation, a network administrator can initiate an upgrade from a server and automatically duplicate the upgrade throughout the network. Simultaneously, allowing everyone in the company to maintain uniform software, resources and procedures. 

4. Networking 

Networking is a process of exchanging the information and ideas among individuals or groups that share a common interest, i.e. the process of creating a network is called networking. 

The need for networking is mainly to break the barriers of distance, time and cost. Similarly, interconnecting computers, results in a form of networks of computers. 

5. Server 

A server is a main computer that manages resources connected to a network. Any user on the network can access the resources stored on the server.