Web services are almost like normal a web page. The difference is that they are formatted to make it very easy for a program to pull data from the page, to the point of probably not using any HTML. They generally also are more reliable as to the consistency of the format, may use a different formal process to define the content such soap or raw xml, and there is often also a descriptor document that formally defines the structure for the data.
A directory called UDDI (Universal Description, Discovery, and Integration) defines which software system should be contacted for which type of data. So when one software system needs one particular report/data, it would go to the UDDI and find out which other systems it can contact for receiving that data. Once the software system finds out which other systems it should contact, it would then contact that system using a special protocol called SOAP (Simple Object Access Protocol). The service provider system would first validate the data request by referring to the WSDL file, and then process the request and send the data under the SOAP protocol.
Unlike traditional client/server models, such as a Web server/Web page system, Web services do not provide the user with a GUI. Web services instead share business logic, data and processes through a programmatic interface across a network. The applications interface, not the users. Developers can then add the Web service to a GUI (such as a Web page or an executable program) to offer specific functionality to users.
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W3C Web Services may use SOAP over HTTP protocol, allowing less costly (more efficient) interactions over the Internet than via proprietary solutions like EDI/B2B. Besides SOAP over HTTP, Web services can also be implemented on other reliable transport mechanisms like FTP. In a 2002 document, the Web Services Architecture Working Group defined a Web services architecture, requiring a standardized implementation of a "Web service."
Web services are a type of internet software that use standardized messaging protocols and are made available from an application service provider’s web server for use by a client or other web-based programs. Web services can range from major services such as storage management or customer relationship management (CRM) down to much more limited services such as the furnishing of a stock quote or the checking of bids for an auction item. The term is sometimes also referred to as application services.
^ Compare: Oya 2008, "Under the current Web Services, […] stakeholder systems must follow the predefined rules for a particular business service including those about business protocols to send/receive messages and about system operation. […] More flexible mechanism is desired where freely built and autonomously running systems can exchange business messages without pre-agreed strict rules. We call it Autonomous Web Services (AWS) and proposed the framework called Dynamic Model Harmonization (DMH) with its algorithm, which dynamically adjusts different business process models between systems […]."
"All the standard Web Services works using following components:" ... the problem with this answer is that it suggests that web services do or must operate within the SOAP/WSDL mechanism. This is inaccurate. Representational State Transfer (REST) is another very popular paradigm for implementing web services. Some major websites have deprecated their SOAP services in favor of REST web services. – scottb Jul 7 '15 at 15:50