Street vendors near Arulmigu Dhandayuthapani Swamy Temple, Pazhani, form an essential part of the regional trade system and cultural landscape, yet they confront numerous obstacles in a tourism-dependent setting. This analysis aims to investigate the financial, societal, traditional, operational, and psychological aspects shaping their decision-making patterns. A descriptive study model was employed, selecting 148 roadside vendors through random sampling. Primary information was obtained via structured questionnaires, capturing elements such as revenue fluctuations, competitive pressures, cultural integration, emotional resilience, and merchandise selection. Statistical methods, including Simple Percentage Analysis and Structural Equation Modeling (SEM), were applied to examine the severity of these difficulties and the correlations among various components. The results identify significant barriers like fluctuating revenues, cultural adjustment to heterogeneous visitors, and logistical constraints like rental charges and infrastructure inadequacies. The decision framework of the street vendor business is governed by cognitive, economic, locational, and social factors, guaranteeing their long-term influence on the local marketplace and conservation of heritage. In addition, the results of this research have global implications and can be applied successfully in other areas. Grasping these common challenges makes it possible to develop effective strategies to support street traders in diverse cultural and economic settings globally.