Since iPhone 2.0 firmware until recent update to the iPhone firmware, Apple has given us the ability to pause and waiting an application downloading from the App Store. This is great in case you’re downloading a very big app and must go somewhere that doesn’t have WiFi. In other words, you can pause and continue downloading application when you're offline or doesn't have internet connection.

Let say, i would like to download Tap Defense application from App Store. This app is free and just tap it to install. Then you'll new icon appear automatically on your SpringBoard which is indicate "loading" status.

To do this, simply tap on the application icon while it’s downloading and you’ll see the text change to ‘Paused’.

If you truly doesn't have internet connection/offline while it's at "Paused" condition, you'll see the text changed to "Waiting" status.

When you’re ready to resume this download touch the icon again and you’ll see the text revert back which is indicate to "Installing" status. Then its continue installing until its complete. Don't forget to reset your iPhone before running new application.