Its not that a switch is better then a router, or visa versa. They are used for two different tasks. A router will route packets in between different network, and it is a layer 3 device so it can read IP/IPX or some others. A switch is a layer two device, meaning it can only read the MAC hardware address and sends it to the port its supposed to go. Heres how it works, if a switch receives a frame, it will look for the mac address in its filter table to see which port it goes to, if it doesnt have an entry, then it will foward the packet to all ports, and then it will receive a reply and it will enter it into its table so that the next time a frame comes with that MAC address, it will know where to send it. Both of these topics get a lot more complex, but ive got to go take a shower.