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It amazes me how much people whine when a piece of software isn't targeted directly at them!!
Isn't that the truth?
Compared to MS Office, it looks as though someone couldn't survive with either NeoOffice/OpenOffice or iWork '08 but they both do the job quite well.
For word processing, presentations, and spread sheets, either will do but the more graphical the situation, the better off you are with iWork. NeoOffice, like OpenOffice, follows MS Office closely in what can be done.
It's quick and generally simple to get things done in Pages, especially if you've worked with any page layout application. It's certainly easier to get things done than it is with MS Word.
Presentations are not only easier with Keynote than PowerPoint but they're quite a bit better, although you might have to back off on certain features, if you plan to export to PowerPoint or NeoOffice.
Numbers is new and it's very capable but doesn't include some esoteric features. It'll be interesting to see how it grows in capabilities but it's already graphics heavy, as you might expect from Apple, having seen Keynote and Pages.
I find it better and quicker to use iWork than to use NeoOffice but both work. One consideration for NeoOffice is that the developers closely follow OpenOffice and integrate changes quite often but it's still not a slick application suite and it doesn't leverage Mac OS X as well as it should.