The main differences with MS Word is the terminology, in Google Docs the way to edit with track changes is called Suggestions. Edit and view speak for themselves.
If you have been granted edit access to a document then you will have free range to alter that document any way you wish and you can easily tell by the Editing menu in the top right hand corner of the page.
Comment only access (Track Changes style)
Commenting access is slightly different, you have all of the tools but instead of the editing menu, there is a green suggestions menu and the edit is also greyed out.
View only access
If you only have viewer access then that’s easily distinguishable by the lack of formatting menus and tools on the main toolbar and menu bar and no edit or suggestions menu on the right hand side.
EDITING A DOCUMENT IN GOOGLE DOCS
Editing is just like any other word processing software, but fancy formatting similar to what you can get in MS Word is a little bit tricker and where Docs lacks a little…… or a lot. With a little creativity you can get close and achieve something that's visually appealing and functional too but getting there sometimes can a bit annoying but Word has it’s own quirks.
Commenting on a Doc is really fun, you can watch as the other contributor types and changes parts live and they are easily noticeable by the colour cursor and text.
What the commenter sees:
Commenting highlights the new suggested text by underlining and deletes are visibly struck out.
What the editor sees:
Similar as above but the changes are in the randomly chosen avatar colour of the contributer as shown in the top right hand corner of the page.
Editing and Commenting modes can both switch to viewing mode which locks out any further editing and allows the user to preview the final document. Changing back to edit or comment is easy by going to the same menu and switching back.