There's a school of thought for each - some think an upgraded antenna boosts range, while others propose it merely strengthens the signal within the areas that were normally weak, while not really increasing the range any (instead just giving the ILLUSION of greater range since you naturally think that if the signal is stronger, you can wander farther from the access point but never do).
This antenna in particular is directional, which means it only makes sense when pointing it in a direction where the most usage would occur, or rather, when they're used with a wireless bridge to create a stronger link to the home station/router/access point. WAPs should use omnidirectional antennae for the most part since a directional antenna such as this would severely limit the focus of your network.
Directionals are also used sometimes to narrow a hotspot's active zone, so there's less chance of someone mooching off a network.