How is a piano recorded?

What prompted this question is this afternoon's activity: going to the mall, an obligatory task of being a husband, we entered through Nordstrom. As the habit of Nordstrom is, they usually have a pianist play a baby grand near their escalators in the middle of the store. So while my better half was browsing, my son and I watched the pianist.
From a certain distance, I certainly couldn't localize where the lower register or the upper register or anything in between was, the piano sounded as a whole, singular unit. However, that's not the case in many recordings, at least what I have: the piano is spread wide b/w l & r speakers. Is this the result of close-miking the piano? I wonder why the rec engrs don't make it more like real live, but I have no experience or skill or any background in recording so I don't know. What are the considerations for close miking like this?