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A good MC keeps the night moving. They welcome guests, introduce the speeches, cue the first dance or the cake, run the games and fill the gaps while the next thing gets ready, so the hosts can enjoy the party instead of watching the clock.
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They host the formalities: welcoming guests, introducing speakers, announcing the meal, cake, first dance or awards, and keeping the timing on track. A good MC also reads the room and fills any gaps.
Often, yes. Many DJs MC as part of their package, which keeps music and announcements in one set of hands. Check that they're comfortable on the microphone and have hosted your kind of event before.
As soon as your date and venue are set, especially for Saturday weddings and end-of-year corporate events. Leave time to meet them and agree a run sheet.
A run sheet with times, the names (and pronunciations) of everyone speaking or being acknowledged, any announcements, and the venue contact for the night.
Some do, some use the venue's system. Ask when you enquire, and confirm with the venue so there's a working microphone wherever the speeches happen.