Here is a formula to start. And It is FREE

1. Do market research to determine what sells. There are many ways to do it. But start with clickbank (for digital product), and Amazon (for digital and physical products).
2. Once you find a market and a product to sell, do keyword research and get domain related to your niche. Keyword research will also help you finding a domain.
3. Get an unlimited domain web hosting plan for $10/month.
4. Set up a blog. Use a good Free theme.
5. Create useful contents for your blog.
6. Promote affiliate products in your blog.
7. Get inbound links to your blog using article marketing, forum posting, blog commenting, Squiddo, eHow, HubPages, etc.
8. Start using Twitter and Facebook to connect with people. Are you going to make lots of money if you follow the above steps? It does not really matter. The most important thing is learning. You will learn
1. Market research
2. Keyword research
3. Affiliate marketing
4. Improving writing skills.
5. Search engine optimization, etc.

Create a separate Google email and sign up with all the Internet Marketers that let you download free ebooks in exchange for your email. Ask yourself why these people are giving you away free ebooks for email. You'll learn what they are up to.

After a few months, use the contents you have already published in your blogs to create an ebook.
Sell that ebook using Pay Per Click (PPC). You will learn PPC.

After one year, even if you have earned a small bit of money, you will be an expert in all the aspects of Internet Marketing. Now you can formulate your own plan and set up your system to go after the big money.