iPhone Voice Memos, GarageBand exports and iTunes purchases are M4A. Car stereos, older MP3 players, some editing and transcription tools and many upload forms only take MP3. Both formats are lossy, so the audio is decoded and compressed a second time; at 192 kbps or higher the difference is hard to hear for speech and most music.
The defaults suit most files. Under Options you can choose the bitrate and trim the start and end.
The conversion uses your browser's own video and audio codecs (WebCodecs), with hardware acceleration where the device has it; the file is read from disk as it goes and can be up to 2 GB. Where the browser lacks a codec, the page falls back to the compatibility engine. MP3 is written at 192 kbps unless you choose another bitrate.