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MYISAM:

MYISAM supports Table-level Locking
MyISAM designed for need of speed
MyISAM does not support foreign keys hence we call MySQL with MYISAM is DBMS
MyISAM stores its tables, data and indexes in diskspace using separate three different files. (tablename.FRM, tablename.MYD, tablename.MYI)
MYISAM not supports transaction. You cannot commit and rollback with MYISAM. Once you issue a command it’s done.
MYISAM supports fulltext search
You can use MyISAM, if the table is more static with lots of select and less update and delete.
INNODB:

InnoDB supports Row-level Locking
InnoDB designed for maximum performance when processing high volume of data
InnoDB support foreign keys hence we call MySQL with InnoDB is RDBMS
InnoDB stores its tables and indexes in a tablespace
InnoDB supports transaction. You can commit and rollback with InnoDB