Many people in Florence dress nice, all the time. This man looks like he is on his way to work. In the background there is a souvenir stand selling bags, and toys and other trinkets. There are people with small stands set up like this everywhere all over the city. You can barter for an item you want...There aren't always price tags on items and even if there are you can still ask for a lower price, sometimes they will sell you items for less than the price tag if you are stubborn enough. It is kind of like a game. I usually buy things in stores, but I do often stop to look at items that the street vendors are selling.
This is the Piazza Della Repubblica, it used to be the old Roman forum, or government center, during the time when the Romans controlled Florence about 1,500 years ago. I walk under this arch on my way to class. A Piazza is a square or open space where there are usually resturants and shops and sometimes large fairs are held here.