The most common way to dwarf a fruit tree is by grafting a scion from the desired tree onto a dwarf rootstock. Some of the smallest dwarf fruit trees, such as those grafted to Malling 9 rootstock which produces trees only 7 to 8 feet tall, require staking since the roots are not substantial enough to anchor the tree. In fact, the roots are so shallow that in far Northern regions they need to be mulched in winter to protect them from freezing.
Another way to dwarf a fruit tree is by growing it in a container. The growth of the tree is stunted as the roots become bound. By using this method in combination with a dwarf rootstock, very small dwarf fruit trees can be grown.
If you purchase a dwarf fruit tree from a nursery, it will come with planting instructions which include recommended spacing. These instructions are based on the rootstock used and take into account not only the above ground space the tree will need but also the appropriate underground space for the tree to grow to the advertised height.