As I often work on multiple servers it is rather dangerous that one give a command on the wrong server. To minimise the risk it is good practise to colour the terminal prompt by adding this at the end of the ~/.bash_profile file.

export PS1="\e[0;32m\u\e[m\e[0;32m@\h\w \$ \e[m"

and something like this in the root of the same server (i.e. you highlight root red vs home green)

export PS1="\e[0;31m\u\e[m\e[0;32m@\h\w \$ \e[m"

The numericals for the various colours you can use are:
30 = Black
31 = Red
32 = Green
33 = Yellow
34 = Blue
35 = Purple
36 = Cyan
37 = White

Background

40 = Black
41 = Red
42 = Green
43 = Yellow
44 = Blue
45 = Purple
46 = Cyan
47 = White

More information is available on http://tldp.org/HOWTO/Bash-Prompt-HOWTO/x329.html

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