As a backup to enable data recovery in case of data loss.

As a source of data for setting up replication slaves.

As a source of data for experimentation:

Without --tab, mysqldump writes SQL statements to the standard output. This output consists of CREATE statements to create dumped objects (databases, tables, stored routines, and so forth), and INSERT statements to load data into tables. The output can be saved in a file and reloaded later using mysql to recreate the dumped objects. Options are available to modify the format of the SQL statements, and to control which objects are dumped.

With --tab, mysqldump produces two output files for each dumped table. The server writes one file as tab-delimited text, one line per table row. This file is named tbl_name.txt in the output directory. The server also sends a CREATE TABLE statement for the table to mysqldump, which writes it as a file named tbl_name.sql in the output directory.