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I believe the Google location apps use wi-fi information to determine where you are. Google set up android to allow Android "phones" with GPS's to report to google the "names" of wifi hotspots and their locations (this feature can be toggled on/off).
Then, when a subsequent device logs into google locations apps like maps, android will reference your wifi to see what hotspots are available, and use that to help "guesstimate" your location. When android determines your location using wifi hotspots, it draws a much larger "circle" as the margin of error than when using a gps.
The standard android settings includes a switch for "wifi locations", but the B&N firmware removed the switch, but it appears to be in a permanent "on" state when the google apps are added to the Nook.
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