In nature, honeybees will find a cavity of approximately 2-3 cubic feet and nest in it - usually a hollow tree (although you'll find they also enjoy nesting in house walls!). A typical colony is made up of one queen bee, about a thousand male drones, whose sole task is to inseminate the queen, and then about 60,000 sterile female worker bees that build cells, feed larvae, collect nectar - basically do everything else!
Worker bees fly to flowers and extract nectar, carry it back to the hive, then spit it into the mouth of another bee, who spits it into the comb. Other bees flap their wings to dehydrate the honey. When the water content is low enough, the bees cover each cell with a wax cap.
When all the frames contain cells full of white caps, it's harvest time for the beekeeper.