PHP is a programming language that runs on a web server. When a user asks for a web page, the server runs PHP code to create the page content. The PHP code can do things like show text or work with data. After running, PHP sends the result as HTML to the user's browser. The browser then shows the page. For example, the PHP code '<?php echo "Hello, world!"; ?>' sends the text 'Hello, world!' to the browser. PHP code runs step by step on the server, starting with the PHP tags, then the echo command, and finally ending the script. Variables in PHP can hold data and change as the code runs. This process helps make web pages dynamic and interactive.