Exposing the function on to network: A Web service is a unit of managed code that can be remotely invoked using HTTP, that is, it can be activated using HTTP requests. So, Web Services allows you to expose the functionality of your existing code over the network. Once it is exposed on the network, other application can use the functionality of your program.
Standardized Protocol: Web Services uses standardized industry standard protocol for the communication. All the four layers (Service Transport, XML Messaging, Service Description and Service Discovery layers) uses the well defined protocol in the Web Services protocol stack. This standardization of protocol stack gives the business many advantages like wide range of choices, reduction in the cost due to competition and increase in the quality.
Connecting Different Applications: Web Services allows different applications to talk to each other and share data and services among themselves. Other applications can also use the services of the web services. For example VB or .NET application can talk to java web services and vice versa. So, Web services is used to make the application platform and technology independent.
Low Cost of communication: Web Services uses SOAP over HTTP protocol for the communication, so you can use your existing low cost internet for implementing Web Services. This solution is much less costly compared to proprietary solutions like EDI/B2B.