Shading

Shading, coloring, lighting, texturing.. loosely and generally speaking, they all indicate the same thing - how to add more interest to a scene.

Onscreen

Print

Flat shading: uses just a single normal [to make just one lighting calc.] for an entire polygon

Gouraud shading: a normal at each vertex

Phong shading: a normal at every pixel

Note that all of the above are capable of rendering ambient, diffuse as well as specular calculations.. It's just that the quality of the results 'differ' :)

In addition to the above, there is also 'fence shading' where a normal is calculated at a polygon's boundary (fence) pixels.

Ref - some more notes on specular highlights.
Diffuse lighting video clip
Specular highlights video clip
Specular reflections
Shading networks