I think shopping in the local market should be on everyone’s agenda when visiting a new country. It is a good reflection of the culture, the economy, and the popular food and drink of a city, not to mention a wonderful place to people watch.
The main mercado in Granada is full of smells (fish, meat, cheeses, boiling soups and other lunch specials at the comedors) and interesting sights (stray dogs, blooming flowers, and stands selling everything you could imagine – bars of soap, sandals, school notebooks). It can be very hot, humid and especially muddy in the outdoor sections after a day of afternoon rain.
Nicaraguan people do not mind bargaining when it comes to prices. Especially as a foreigner, you will likely be given a higher price from the start so don’t be afraid to negotiate. I have found that bargaining isn’t always respected in other countries, but in Granada it seemed customary. The vendors were often friendly and very pleased when foreigners used Spanish, even if wasn’t perfect.