The camera on the Gear 2 is a 2MP affair, and while has been slightly improved over that in the Galaxy Gear, its inclusion doesn't make a lot of sense still.
If you must put a camera on a smartwatch though, this is a better way to do it. Putting the module in the body of the watch is a good idea, rather than in the strap, although I'm still a bit disappointed that it can't be accessed by swiping downwards from the top of the screen.
In terms of what the camera can do, it's a fair amount. You can shoot in 16:9, 1:1 or 4:3 ratio, which is a cool trick to have, as well as using normal or macro focusing mode.
The latter actually worked pretty well, and this is the kind of shot I was more up for taking with such a weird option for photography.
The voice recognition, which allows you to activate the shutter using your larynx, is a weird but functional option. If you don't want to tap the screen you can say 'Cheese', 'Smile', 'Shoot' or 'Capture' and it will almost every time take a snap.
This is usually used for the dreaded selfie or taking a timed picture, but I can't see why you'd do either here as it's not set up to enable either. Maybe the engineers were just bored… but in that case, they could have joined the fitness team and tried to sort out the pedometer.