Xen said:
The dock delivers a stable supply of power -> more power available to chipset than battery -> -> system runs faster -> higher res rendered in reality (not upscale) -> possibly more FPS as well. |
If it has a fan, it can further cool the Switch & enables the GPU to run at higher clock speed.
These are all the benefits I can realisticly foresee with the dock power-wise, higher stable power supply so it can run full power with no regards to the battery & a cooling fan to allow higher clock speeds for better performance.

https://www.youtube.com/watch?v=n29CicBxZuw
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