The Joomla! content management system lets you create webpages of various types using extensions. There are 5 basic types of extensions: components, modules, templates, languages, and plugins. Your website includes the extensions you need to create a basic website in English, but thousands of additional extensions of all types are available. The Joomla! Extensions Directory is the largest directory of Joomla! extensions.
Components
Components are larger extensions that produce the major content for your site. Each component has one or more "views" that control how content is displayed.In the Joomla! administrator there are additional extensions suce as Menus, Redirection, and the extension managers.
Templates give your site its look and feel. They determine layout, colors, type faces, graphics and other aspects of design that make your site unique. Your installation of Joomla comes prepackaged with four templates. 
Plugins are small task oriented extensions that enhance the Joomla! framework. Some are associated with particular extensions and others, such as editors, are used across all of Joomla!. Most beginning users do not need to change any of the plugins that install with Joomla!.