generally, speaking, if you don't have an idea of how big the file is, or it would take up too much real-estate on your terminal window, sure. 100%. It was just an example.
lot's of times we sort of know what we are working with, but don't remember the particulars especially
I really recommend folks use "less" over cat, especially keyboard oriented folks. Different terminal emulators don't always have the scroll behavior I want, not do they always allow me to search the file I'm looking at. "less" does all those things, in nearly every environment no matter the terminal emulator, and has other wonderful options to boot (chop long lines so they don't wrap can be nice for logs, line numbers can be VITAL, etc).
I still uselessly use cat though, it's such a nice way to build a pipeline.
e.g.
I need to grab some info from textfile.txt to use as arguments to a function.
cat textfile.txt
looks like its comma delimited.
cat textfile.txt | cut -d, -f 2-5
ah, its the third and fourth column i need
cat textfile.txt | cut -d, -f 3-4 | grep '123456'
perfect
cat textfile.txt | cut -d, -f 3-4 | grep 123456 | tr , ' '
myfunc $(cat textfile.txt | cut -d, -f 3-4 | grep 123456 | tr , ' ')