How does the Windows RENAME (REN) command interpret wildcards?

The built in HELP facility is of no help - it doesn't address wildcards at all.

The Microsoft technet XP online help isn't much better. Here is all it has to say regarding wildcards:

"You can use wildcards (* and ?) in either file name parameter. If you use wildcards in filename2, the characters represented by the wildcards will be identical to the corresponding characters in filename1."

Not much help - there are many ways that statement can be interpretted.

I've managed to successfully use wildcards in the filename2 parameter on some occasions, but it has always been trial and error. I haven't been able to anticipate what works and what doesn't. Frequently I've had to resort to writing a small batch script with a FOR loop that parses each name so that I can build each new name as needed. Not very convenient.

If I knew the rules for how wildcards are processed then I figure I could use the RENAME command more effectively without having to resort to batch as often. Of course knowing the rules would also benefit batch development.

(Yes - this is a case where I am posting a paired question and answer. I got tired of not knowing the rules and decided to experiment on my own. I figure many others may be interested in what I discovered)