Do I need to install Bootloader on my new AtMega32? Can I do it with USBasp?
If I will purchase new Atmega32 from local store will it come with Bootloader?


No


  If no, Is it compulsory to install Bootloader on it?


No


  If not compulsory then why people sometimes install Bootloader? I read somewhere that Bootloader is installed for field programming but I am not sure what that means.


Example: Arduino bootloader:
When the bootloader starts it wait a while to receive serial communication with program code from the Arduino IDE. If no sericode is received via the serial interface it starts to load the code from a preset position in the flash memory.


  What hardware will I need to Install Bootloader? I can see USBasp can be used for programming but can I use it for installing Bootloader also? This is what I'm planning to purchase.


USBasp supports the Atmega32


  If USBasp can load Bootloader as well as program a microcontroller why people sometimes use Atmel ISP MKII or Atmel AVR ISP which are so costly? I dont need to purchase these right???


I don't know why people buy them. And a USBasp is enought for your task.


  If I need to install Bootloader where can I find one for my Atmega32? Is these any standard basic Bootloader?


Please use a search engine and use "Atmega32 bootloader" as search words and from there you can select one that suits your needs.