To answer the first question, fog lights normally have a wide beam to throw light immediately in front of the vehicle; they are also normally mounted lower than the headlights so that the driver is not blinded by the reflaction of the light off of the fog/snow/whatever. Diving lights tend to have narrower beams that reach out to illuminate the road a good distance. Here is a picture comparing my low beams and high beams:
The top image is of the low beams and the bottom is the high beams with the Hellas. The yellow circle denotes a stop sign that was 1/4 mile away. I tried to get a picture from 1/2 mile but couldn't make out the stop sign in the image; you can see street signs at that distance with the Hellas. Now that I have my Hellas installed I can't stand driving with just the high beams
To answer the second question, if you are going to spend $200 then you might consider some PIAA fogs. I am going to look into some Hella fogs after I move to my new job next month. I seem to recall seeing some listed on the Hella site that should fit in the '03 fog light positions. Should be just as good and only around $70-80. Good luck with whatever you decide.