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Could someone explain to me in plain English what is Docker and how is it better than VM?

I have been hearing about this new product called Docker.  the website doesn't really explain what it does and people that has brought it up on conversation has said it's better than VM hypervisors. yet these same people couldn't explain it further than that statement.  i'm looking for a solution that is cheaper than VMs. so if Docker is a more cost-efficient replacement, I would like to know about it further before I bring it up in conversation with our management. Please help.
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Andrew Hancock (VMware vExpert PRO / EE Fellow/British Beekeeper)
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so is it like a repository for applications?  for example, if i have a new, user_b, that needs to have applications that user_a uses, I can just fire up a new workstations with all the applications in it?
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