Thank you Vitaly, Hugh and  glennswest,
for taking time to answer my question. I think both the solutions are 
attractive and have their advantages and disadvantages.

It appears that application stability  and privacy issues are very 
critical so i am leaning towards the solution of  Vitaly Kushner and 
implement a scheme which serves different db, depending upon url.  I 
agree with glennswest that dns is pain and testing such setup is also 
very complication and i cannot test on my localhost   easily such as 
customer1.localhost or customer2.localhost etc .

Once, i implement i would post my results. Once again i thank everyone 
for their comments.





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