Position
In games that use a dealer button to decide betting order, your position from that button is a very important factor. The dealer's position has the most advantage because he gets to see how all the players at the table react before making his own decision.
Before the flop, the two players to the left of the dealer post blinds. You have the small blind and the big blind. These players are already obligated and will be the last to act before the flop. The player directly to the left of the two blinds (Under the Gun) will be the first to act before the flop. After the flop, the action starts left of the dealer button.
The players in the blind and the player under the gun are considered to be in early position. These players have to be more selective on the type of hands they play because they don't have the advantage of seeing what their opponets will do before it is their turn. Plus the players in early position will be acting first every betting round, accept before the flop.
Here's an example: Let's say you have JT of spades UTG and you decide to play this hand. It's raised and re-raised behind you. You know you are in trouble and possibly up against a big pocket pair. If you play the hand it's costing you 3 bets; if you fold you just cost yourself 1 bet because you played a marginal hand from early position; if you decide to call the two extra bets you will be acting before the two players that showed strength every betting round.
With the same hand from the button you would be able to see the raises before it gets to you and you can throw the hand away without it costing you a thing. If you decide to play the hand after the flop you will be able to see what the two other players do before it's your turn and make your decisions after the flop that much easier.
Another advantage to being in the dealers position is that it not only gives you the benefits of observing how the other players are betting, but it also gives you the ability to adjust the size of the pot. After all other players have bet, a raise by the player in the dealers position could potentially double the size of the pot. Since the players have already committed to one bet, its easier to commit to a second.
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