How is an app different than a regular program

I'm trying to figure out why I would want to download a program via the App Store vs downloading the dmg and installing it the old fashion way. What's the difference between and app and a regular program??? Take Pages. I can get it from the App Store or buy it and install it via the dmg. Is there a difference?
Thanks!

Here is an excerpt of the Mac App Store ToU's:
LICENSED APPLICATION END USER LICENSE AGREEMENT
The Mac App Store Products and App Store Products (collectively, “App Store Product(s)”) made available through the Mac App Store Service and App Store Service (collectively, “App Store Service(s)”) are licensed, not sold, to you. Your license to each App Store Product that you obtain through the App Store Services is subject to your prior acceptance of this Licensed Application End User License Agreement (“Standard EULA”), and you agree that the terms of this Standard EULA will apply to each App Store Product that you license through the App Store Service, unless that App Store Product is covered by a valid end user license agreement between you and the Application Provider of that App Store Product, in which case the terms of that separate end user license agreement will govern. Your license to any Apple Product under this Standard EULA or separate end user license agreement is granted by Apple, and your license to any Third-Party Product under this Standard EULA or separate end user license agreement is granted by the Application Provider of that Third-Party Product. Any App Store Product that is subject to the license granted under this Standard EULA is referred to herein as the “Licensed Application”. The Application Provider or Apple as applicable (“Licensor”) reserves all rights in and to the Licensed Application not expressly granted to you under this Standard EULA.
a. Scope of License: This license granted to you for the Licensed Application by Licensor is limited to a nontransferable license to use the Licensed Application on any Apple-branded products running iOS (including but not limited to iPad, iPhone, and iPod touch) (“iOS Devices”) or Mac OS X (“Mac Computers”), as applicable (collectively, “Apple Device(s)”) that you own or control and as permitted by the usage rules set forth in the Mac App Store, App Store and iBookstore Terms and Conditions (the “Usage Rules”). This license does not allow you to use the Licensed Application on any Apple Device that you do not own or control, and except as provided in the Usage Rules, you may not distribute or make the Licensed Application available over a network where it could be used by multiple devices at the same time. You may not rent, lease, lend, sell, transfer redistribute, or sublicense the Licensed Application and, if you sell your Mac Computer or iOS Device to a third party, you must remove the Licensed Application from the Mac Computer or iOS Device before doing so. You may not copy (except as expressly permitted by this license and the Usage Rules), decompile, reverse-engineer, disassemble, attempt to derive the source code of, modify, or create derivative works of the Licensed Application, any updates, or any part thereof (except as and only to the extent that any foregoing restriction is prohibited by applicable law or to the extent as may be permitted by the licensing terms governing use of any open-sourced components included with the Licensed Application). Any attempt to do so is a violation of the rights of the Licensor and its licensors. If you breach this restriction, you may be subject to prosecution and damages.
The terms of this license will govern any upgrades provided by Licensor that replace and/or supplement the original Licensed Application, unless such upgrade is accompanied by a separate license in which case the terms of that license will govern.
One of the differences is that having a physical copy you can sell the software if you no longer need or want it. As you can see above, you can't do that with any MAS purchase - that license is not transferable. So, you are helping the developer make more money by buying from MAS - when you sell your computer, the buyer has to buy the app again - that makes it at least twice the selling price.
By the way, the same rules apply to anyone purchasing Lion from the App Store - the license is not transferable and the OS must be wiped and the original OS re-installed before selling it. The buyer has to purchase Lion again.
Due to the fact that all these purchases are not only tied to your machine ID, but your Apple ID as well, workarounds won't work - the buyer will not be able to re-download (or maybe even update) their OS or whatever app came with the used computer they bought. They will have to purchase the app again: smart move here - instead of selling one physical disk, the app can now be sold (for a slightly lower price) several times again and again.
And, adding another thought for anyone who is concerned about privacy: both StoreAgent (an automatic background service which scans your hard drive when you launch the app store so it can offer you updates or customized advertisements) and the Genius (if activated) will track what you have installed. One of the reasons I do not visit the app store.
As for bandwidth, even if you have unlimited access and a fast connection, it is still a waste of resources to be forced to download a complete copy of the OS (close to 4 GB) when a local reinstall would suffice nicely and take less time and effort. I won't do it again after testing it a couple of times (I now have at least 5 different backups).

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