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Herbalism is the ability to gather the various herbs that grow throughout the world of Azeroth and in Outlands. Herbalism is pretty straight forward: it gathers different herbs. When you activate it, it will send up yellow dots on your mini map when you get Silk Road Gold close to one. You can gather herbs with minimal requirements for how low your skill can be and you can still harvest the herb.
If you gather herbs as you level, you should seldom run into an herb you can not harvest. You can then sell these herbs on the AH for decent money. Once you start harvesting in Outlands you will find sometimes you will get a buff from harvesting a plant, just another bonus to harvesting herbs.
Most engineers will simply make the item for themselves. One of the strongest profession that you can partner engineering with is mining. Mining will off set a large amount of your cost.At 200 skills you are able to specialize in either goblin engineering or gnomish engineering. The differences are reliability vs. brute force. Gnomish engineering makes some versatile and more reliable items. Goblin engineering makes some big explosives and also items that have a more extreme result than the normal or gnomish version. The Goblin versions also are more likely to explode or backfire.