How To Choose A Microphone
While you could use any mic to record any sound, there are functional reasons why some are better than others in different use case scenarios. Let's talk about a few factors and specs.
Shape/size. Simply put smaller mics can fit in tighter space but smaller may sometimes mean a compromise in quality. Lavalier mics are not as good as large diaphragm condensers for studio vocals nor shotgun mics in the field. Of course this is generally speaking as there is still quality to be taken into consideration so there could be overlap.
Tech. Condenser mics are more sensitive, have a greater frequency response, and thus can capture more detailed sound but are not as rugged as dynamic mics. This makes Condensers more sensitive to feedback and noise. They also need be be phantom powered (which is an external power source). There are also other types of mics which have their pros and cons. e.g. shotgun, ribbon.
Polar pattern. This is the shape in which the mic capsule picks up it's best sound. An omni directional pattern means it picks up sound evenly from all directions. Then there are the various levels of mainly forward/little from back and side rejecting patterns (from less to more narrow range) we have cardioid, supercardioid, then hypercardioid. A figure 8 pattern gets sound more evenly from the front and back and has some side rejection.
Sensitivity. The only thing to watch out for here is using a low sensitivity mic and a weak preamp as that will lead to low level sound and boosting it may yield substandard quality because of boosted preamp noise. Examples of good industry standard mics in this group are like Shure SM7B used for podcasts and Electro Voice RE50B use in broadcast applications.
Dynamic range. Mics with lower dynamic ranges can't handle as loud of sounds. Dynamic mics can handle more and are seen more in scenarios like live music.
And now let's talk about some usage case scenarios.
Vocals / instruments on stage. In these very loud scenarios, we see a lot of dynamic mics being used because they can handle high volumes and there's less of chance of feedback.
Vocals / instruments in studio. In more controlled scenarios, we have the option to use small diaphragm condensers for instruments and large diaphragm for vocals to maximize quality. Artistically speaking, engineers may tweak the sound as they want people and instruments to sound different based on taste.
Vocals for narrative / documentary. We see a lot of lavaliers and boom situated mics being used here. Shotguns are best outdoors with wind protection (dead cats for little wind to zeppelins + dead cats for more wind). For indoors, their tech (with the way they reject sound) may yield some artifacting. e.g. off axis coloration, phasing issues. I prefer to use small diaphragm condensers indoors.
Podcasts. We see a lot of dynamic mics on desktop or arms being used here are as they aren't as detailed as condensers which is ok as you don't want sound bleeding to various mics. Plus dynamic mics are cheaper and you usually need quite a few on podcasts.
Interviews. Depending on the scenario, lavalier, handheld dynamic, or boom situated shotgun / small diaphragm condenser mics are used.