I've been on a quest for a tablet for a while now, and I'll summarize the long journey as much as possible.
Ipad, didn't like it, too big for what I wanted. Sold it.
Asus Transformer. Neat concept, functioned as a laptop, except Android doesnt really support laptop functions. Tablet as a stand alone was neat, but I was not wowed. Sold it.
Kindle Fire. Minamalist. Wanted the smaller form factor, but didn't think the original galaxy tab or other 7 inchers had what i wanted. Found that the Kindle Fire is Amazon's proprietary baby and can not access the Google app store (aka, Google Play) or other app stores without rooting and headache. Sold it.
Galaxy Tab 2 7" version. Pretty impressed. Definitely closer to where I wanted to be, but not quite there. Definitely beats the Fire, but cost $100 more than the Fire, so YMMV on what you want vs what you buy. Going to sell it. (Will do breakdown at bottom, since this is a Galaxy Tab 2 post)
Google Nexus 7. Same price point, better hardware inside, but doesn't exactly compete with the Galaxy Tab 2 because they are both apples (no pun intended), but one is red and one is green. I like the smoothness of the Nexus 7 better. I like the Vanilla Android experience. I don't care that there isn't a camera on the back, I never used it on my Transformer anyhow, and I always have my cell phone with a camera on me. Keeping it.
So compared to the next best thing, the Nexus 7:
PROS (the Nexus 7 doesnt have):
Rear Facing Camera
Samsung Apps (media store, app store, email, calendar, etc...)
IR Blaster/PEEL (see schedules and control your TV directly via IR port!)
MicroSD slot for memory expansion (can also swap cards if they contain movies/media)
TouchWhiz U/I - Certain elements like having access to screen brightness, wifi, and other little things by just tapping the corner were helpful, where-as on the Nexus you have to go into settings, and dig down another menu or two. On the Galaxy Tab, you never leave the page/application you're on.
Have to wait for updates - Not a major thing, but something I prefer. Some people run Android 2.0 on tablets and phones just fine with no complaints. I like to be on the bleeding edge and getting my updates immediately.
Samsung Apps - While also listed as a PRO, if you don't want/like it, it's just a PITA.
Project Butter - I'm picky, but the Nexus feels more responsive. It could be because of Project Butter with Jelly Bean (most recent version of Android), and could be that the Galaxy Tab 2 will get it too. It's not slow by any means, but having both tablets side by side for comparision, it's easy to see.
Half the processor - While debateable, it's possible that the smoothness is attributed to Project Butter, but maybe also the processor cores. Don't know, but thought it was worth listing.
Tegra - Again, this isn't really "fair", but trying to test the tablet with some Nvidia Tegra apps that I use on my transformer, I found I couldn't download or run because the Tegra system includes video code/processing that the Galaxy Tab 2 does not and will not. I game as much on my tab as I do surf the web... So that was important to me.
While I am very critical of the Galaxy Tab 2, but it is still a very solid Tablet, and a solid choice for those who need or want memory expansion or a rear camera.
EDIT: Oh, and for regular usage, side by side, the Galaxy Tab 2 has a better performing speaker, but it's located on the bottom. The Nexus has decent quality but is not as loud. But the orientation of the speaker on the BACK of the Nexus allows sound even if covered or laying flat.
Another note, the screens performed equally well, not counting gaming. Pixel density is not really a factor between these two tablets as they are about the same size, same brightness, and unless you're REALLY close (or gaming), you're not going to notice a major difference.