VCD stands for ‘Video Compact Disc’ and basically it is a CD that contains moving pictures and sound. If you’re familiar with regular audio/music CDs, then you will know what a VCD looks like. A VCD has the capacity to hold up to 74/80 minutes on 650MB/700MB CDs respectively of full-motion video along with quality stereo sound. VCDs use a compression standard called MPEG to store the video and audio. A VCD can be played on almost all standalone DVD Players and of course on all computers with a DVD-ROM or CD-ROM drive with the help of a software based decoder / player. It is also possible to use menus and chapters, similiar to DVDs, on a VCD and also simple photo album/slide shows with background audio. The quality of a very good VCD is about the same as a VHS tape based movie but VCD is usually a bit more blurry.
I would like to know why because you can do all the above things state without creating VCD or DVD
Movies can be played without creating VCD or DVD, just put MPEG1 or MPEG2 individual files on a CD or DVD and use your media player.