It is a bit misleading to think of Vectors as displacements. Vectors are abstract mathematical objects that live in a Vector Space over a Field (say Real number field). A vector is a higher-order animal that is obtained when you pour the Field over a Vector group.
Quick and dirty introduction:
- Build a set with a collection of objects.
- Establish a relationship between the objects by means of an operation. (Say multiplication).
- See if it forms a Group. (We assume yes).
- Now bring in a Field (Set which forms a Group under two operations) and form a new algebraic structure called a Vector Space over a Field by establishing certain combination rules between elements of the Field and the elements of the group. To make life easier we choose a field that has one operation the same as the Group.
The Field serves to fill the "holes" between elements in the Group by giving you the ability to scale vectors. Vector "Products" are obtained by asking the question "how do we make vectors talk to each other"? Inner products yield elements in the Field (scalars) and wedge products yield another vector that is not in the same sub-space as the two original vectors.
How do you know whether a physical system can be represented by an inner or outer product?
Well, the easiest way to check is experimentally. For example how do we know if $\vec{F}=q(\vec{v}\times\vec{B})$ and not $q(\vec{B}\times\vec{v})$ ?? This is by experiment.
*Remember that when we measure something, we do so in the Field because our results are numbers.*This is a critical concept.
There is a lot more to say and I'll edit this when I have the time. Abstract Algebra is a beautiful subject. Hope this helps. :)
Edit #1:
The triangle law of addition comes out naturally when you write down the rules that result in the formation of a vector space. All these geometric pictures are misleading because they are presented to students as the absolute concept. You can ask the question "Why is a vector represented by an arrow?". My opinion (I have never seen this discussed anywhere) is that by giving a "direction" you inherently establish an ordering within the set. A lot more can be said if you think deeper, but I guess I have confused the OP already. :) :)