The rules of the game article should have used the word "Any" with respect the natural weapons available during a grapple to avoid all confusion. You can use em all, but only one in any round since you can only use a natural weapon once in a round. Any creature that's a worthwhile grappler will have Improved Grab and such a creature can use the damage an opponent grapple action to deal natural weapon damage multiple times.
Ozyrrandion, a medium dragon without Improved Grab, is better off not grappling unless he has no other choice. Of course, if you upgrade him by an age category and have a large dragon (with +4 size, more strength, and a high bab) then grappling is less bad, but even then, a dragon probably only would use grapple in very specific circumstances (if, say, it's confronted with dangerous archers and a two-handed weapon wielding fighter, perhaps?) since it's not necessarily easy to escape a grapple when he needs to.