Hey Ben,
Can you tell me which related privacy setting would override this behavior?
Following a user will not overcome privacy set by the owner
here and similarly in their profile info.
Generally, when people 'follow' other people, it means they will receive their updates and posts (even if they are not friends).
That is true, but the followers can only see those updates/posts if they are allowed to view them(satisfy privacy requirements).
What privacy setting do i have to change so that I can see their updates? Or does it not work like that?
Do you mean the privacy setting of the post owner? It would depend on what is the privacy set in the post itself.
What about when I have someone as a friend, I already receive everything they share. In that case, what does "Following" them do?
If you are already friends with the user, following them allows you to include their posts in the 'Following' filter(
http://take.ms/XbdlI). Following users also allows you to get suggested users to follow(
http://take.ms/YR6LQ).