You buy a stock and sell an option on that stock. The money this earns gives you extra cash flow and downside protection on your stock. If you just buy the stock and do not sell an option, you receive neither the extra cash flow, nor the downside protection.
This program describes a very conservative use of options because it deals with options in a covered call strategy. Most sophisticated investors and pension fund managers consider the judicious use of writing covered call options to be one of the safest and most reliable investment strategies.
For example, in their booklet "The Value Line to Option Strategies", the esteemed investment service Value Line states:
"Curiously, the most attractive option strategy when returns are concerned in relation to risk is covered call writing. It provided profits over 20% a year with relative consistency and it is only about half as risky as holding a portfolio of common stocks."