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You don't need a large space for your store. Usually 50mb is enough. Most hosting now will support php. You can use some shopping cart written in php. Usually such hosting will cost less than $10/mo.
A good place to check the market is keyword suggestion tool. The most popular one is the overture suggestion tool. You type in a word and it will tell you how many searches of the word in the last month on overture. Since overture covers most popular search engines like yahoo, msn, altvista and so on, it will give you a good idea that how good the online market is for the keyword. A good market should have at least 1000 search for the keyword you typed in.
If they answer yes to all of the questions, they ask them how to set up an account and how to pay them. The next step will be setting up an online store and start selling.
After you decided to go for an online store. You need to build your store. You need to register for a domain. You have to have your own domain because you don't want marketing somebody else's domain. After you registered your domain, you need to buy an hosting for your store.
The next step is check how the intense of the competition. To do that, you can search the keyword on google. A good keyword should come up with less than 1000,000 results. If the result is too much, that means the keyword is too competitive and it's hard to compete with so many good sites already there.
