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For some odd reason, most (as in close to ALL) normalizing algorithms are far too imperfect in their sound quality. The idea behind the process is to take the averages of your music's amplitudes and boost everything in the file by another averaged number. In music mastering terms, this is inacceptable, especially considering the result is often a tainted-quality sound file, with troubles such as tinny-sound, added aliasing or noise (like gaussian blur in graphics terms).
Normalizing often changes dynamics in amplitudes, which could throw off a mix ever so slightly.
Compression has been used and proven over the years because is works with the dynamics of your music based on ratios, so the effect of it can be either transparent and un-noticeable, to the most annoying "pumping-and-breathing" effect that compression can do. Good compression can bring up the quieter parts, and relatively soften the louder parts (reduce the dynamic range) leaving you with a fuller sounding volume and so you can boost the entire output gain a few more dB to make the track sound louder. Normalizing doesn't quite do this at all. Another thing is that most (pretty much all) professional-grade compressor gear and software compression algorithms these days are virtually noise-free, leave you no side-effects, and are much cleaner with your music.
"the more you know" 
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'-.SgtFoo.-'
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