>>26761287yes you must always be connected to location data. you cant do anything else otherwise
as for the shop, its hard to tell. currently, you only get enough potions and revives to keep your favorites alive. However, every day we get 2500 coins "from the professor" which will probably change with the actual release. Those coins are used to buy pokeballs and egg incubators primarily, so if coins become extremely scarce, i could see the shop becoming very invasive.
>>26761330you can spend candies(usually 1-2) plus a certain number of another resource to increase their strength. I'm not sure how it scales in the long term, but if you catch a better pokemon, obviously its better to switch to that one. Candies are only used to evolve and power up at this point.
>>26761357capture points is relative strength. Think of it as level. The only stats are capture points, hp and they come with two random moves with respective powers.
So higher cp pokemon have higher hp and do more damage. 323 is fairly weak. my highest after a week of gameplay is 887(i could theoretically power it up more but id rather keep the candies to evolve an eevee hopefully into a jolteon)
3312 is one of the highest ive ever seen. In the google plus dev group someone posted a 4000+