As to the "Why" if it's too short from new, then there's no fowl in adding a link.
Other possibility's range from saw not oiling enough oil, bar is worn out and chain can not pick up oil from the groove, chain does a poor job of picking up oil(poor design) to chain is too soft(poorly built)
Again, when we talk about chain that does not work right any longer it is Severely stretched, most every chain after some use has a little stretch to it and this is not problematic. Some bar and saw combinations do not always yield a decent amount of adjustment, this is where a chain with a bit of acceptable stretch can be shortened.
As far as to the "Where", pretty much any drive link can be taken out, you'll either end up with cutters close or far apart where spliced. I would recommend looking for a damaged cutting tooth to take out if applicable, thus making the chain "better".