It's just a more beastly manifestation of the Khajiit's honed hunting prowess. I think you can play it however you like. The werewolf isn't a dog by any stretch of the imagination. There is an elegance and power in the wild wolf that I think any feline would appreciate. We're too ingrained in our thought patterns to think of domestic cats and dogs when it comes to this stuff. If you ever have the opportunity to meet a wolf up close, I think you'll find the similarities to a domesticated "people friendly" dog are quite absent.
But, as another poster mentioned, it is just a game. So if your brain can't reconcile the two, be happy choosing elsewise