Why use databases in a business?

Databases allow you to store information in a structured format. For example, it is easy to say "We made one million pounds last quarter", but with a database, every order could have been logged, along with who made it, where, and how. That way, it is very simple to analyze who is buying your product and who isn't.
There are many other examples too. Databases allow you to store information on products very efficiently: you can store the name, price, and description, and it is easy to retrieve, say, the description when the customer gives you the name.