This one is quite straight forward. Is the performance of the application when delivered with App-V sufficient? If it’s not you may prefer to deliver the application locally or alternatively via RDS or XenApp, though both of those may also introduce a slight performance decrease…
If you have performance issues with the application in App-V, it’s a good idea to Mount the App-V Package and test performance this way. There’s also some general App-V Performance related best practices out there such as those presented by the Project VRC article HERE