There are various theories, but the truth is that nobody knows how homeopathy works. According to our current scientific understanding - it shouldn't work. But it does. It would seem that science's belief that a substance can be diluted completely out of existence is incorrect.

For convincing evidence that homeopathy works:

Sock horror in homeopathic cholera statistics Laughing my socks off …
The history of homeopathy in the Russian Empire - Alexander Kotok, M.D.
Homeopathy for Influenza

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These are my personal views and not necessarily my professional views.The content is for informational purposes only and should not be construed as medical advice. ALWAYS CONSULT YOUR LOCAL PHYSICIAN.