Hi Hara,
As I don't use IH2 myself I can't give a good comparison. In the image_manager.txt file is a complete description of the functions. Furthermore you may find info here: http://www.zen-cart.com/forum/showthread.php?t=158925
What I can say, is that installing IH2 will introduce another way of storing the images, making IM of no use.
You mean touch-enlarge an image in the front-end of the shop? If so, the answer is no. IM is an image management tool and not an image display tool. I myself use zen-lightbox for that purpose.
Boudewijn
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