Its not obvious but this happens by default with APK installed on android. The app must be signed with the a key and the key must match the already installed version.

Choosing the correct app when you first install it is the key.

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Apps from Google Play are signed by Google though not by the devs (anymore) and it's missing the UI part where it asks on override. I think that's what he wants.

Yes, but I'm speaking for a world outside of smart phones

For sure. That would be great.