pretty much, integrated graphics are shit. just get a card - even a cheapo 8400 is better than any integrated graphics out there. you can get them for like 20 bucks.
video ram is a difference, but another part is the difference in processing abilities and optimization between your cpu and your gpu. when i build systems, i'll stick 4 gigs of ram into it - but until i install the graphics drivers, the system still lags on simple visual elements that the most basic graphics card could handle. it's just the nature of the thing - nowadays, you can't survive without a graphics card.