1. The theme is not specifically location based, so unless you're planning to set up the categories as locations themselves, then users enter in their location from the Google map. Outside of this, it would require customization on your part if you were planning to add the location selection to link to the main Google map on the homepage.
2. There are no default categories, they are all entered in by you during setup.
3. Yes, the Standard theme license does not include the Photoshop .psd files. Thanks.
