The main reason to redirect anyone to another site or another page on a web site is because a page and or web site has moved. The redirect may point to another site or a subdirectory. You may also have different domain extensions like .net, .org, .info that you want to point to your main .com extension. There are numerous ways to redirect domains, but it's important to note the correct ways to do redirects.
One of the ways that people do redirects is via a JavaScript meta-refresh tag. While this works the search engines frown on it's use because you could create a page to rank high in the search engines and then redirect them to another page. So search engines can penalize you for the use of this tag.
Some webmasters use parked domains to redirect to other sites, so they may but 5 domains for example and have them all point to the same domain. What happens here is the search engines now think that you have 5 different web sites when actually you only have one. Once the search engines realize what's going on chances are you will be removed from all the SERP's because of a duplicate content penalty, and it will take you considerable work to get re-listed.
To do a proper redirect you want to do a 301 or 302 redirects, depending on what you are trying to do. From a search engines point of view the only proper redirect is a 301 redirect which states that the redirect is permanent. A 301 redirect is instituted on the server and it carries over whatever link popularity that it has to the new URL. A 302 redirect is considered a temporary move and in most cases link popularity is not transferred over which can effect ranking negatively.
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