This is an example of a module being displayed inside the menu dropdowns. This feature can display any module or module position, allowing for multiple modules in the same dropdown.
Well... how about never needing to mess with encoding settings again?
Ever needed to display several languages on one page or site and something always came up in Giberish?
With utf-8 (a variant of Unicode) glyphs (character forms) of basically all languages can be displayed with one single encoding setting.