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Google AdWords is Google’s advertising system in which advertisers bid on certain keywords in order for their clickable ads to appear in Google’s search results. Advertisers have to pay for each clicks & hence its also called Google AdWords PPC.
Google AdWords remarketing is a form of online advertising that enables sites to show targeted ads to users who have already visited your website. Past visitors will see these ads while they are browsing the web, watching YouTube videos or reading news sites, for example keeping your brand top-of-mind and enticing visitors to come back for more.
The actual position of your ad is determined by your ad rank (Maximum Bid times Quality Score). The highest ad rank gets the 1st ad position. Your actual CPC(Cost per click) will be determined by the ad rank of the next highest ad below you divided by your Quality Score.
The only exception of this rule is when you are the only bidder or the lowest bid in the AdWords auction; then you pay your maximum bid per click! Those with high Quality Scores get higher ad ranks and lower CPC