wht, first and foremost ya need to understand that a frequency is a wave. The size and strength of that wave determines how far it can travel, and what it can travel thru or around.
Frequencies that are just slightly different from one another are grouped by the FCC into bands. The FCC has decided that some of those bands are usable by everyone, some are usable by those with a license, others are set aside for military use, or aircraft use, for businesses, for cell phones, WiFi, satellite TV, satellite radio, FM radio, AM radio and on and on and on... the list is seemingly endless. If you really want to confuse yourself, click here to see the complete allocation chart:
http://www.ntia.doc.gov/files/ntia/publications/2003-allochrt.pdf
So basically the differences between bands amounts to (1) the actual wave that defines the band, (2) and what the FCC has said what purpose they're to be used for.
When you pick a radio, you're picking something that has been designed to listen to and/or transmit within that band. The WallyWorld radios for example are designed to work within the FRS band (family radio service); a band the FCC has decided anyone can use freely, if used within certain limits. Race radios are designed to work within the VHF (very high frequency) band; a band the FCC has decided businesses and special event personal can use without a license, within certain limits. Etc...
Does that help?