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There are probably as many reasons for using a scope as there are hunters and target shooters. Some people find that their eyes simply can't focus on iron sights as well as they used to. Switching to a scope helps improve their sighting, if not their sight.
Many hunters need to get a clearer look at their game. The magnification offered by a scope allows them to make sure, for instance, that the White Tail they're sighting on is not actually a Black Angus. A lot of people choose scopes because they are simple to use and make hitting what you aim at a lot easier. There is no truth to the rumor, however, that lonely hunters use scopes to make their guns more attractive to the opposite sex.