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I reckon the shop will offer higher level armor and produce more caps and hapiness than the stand
"There are 3 levels of each type, requiring an increasing amount of caps, materials and perk levels to build, but also yield more caps and have a wider selection of goods in stock."
I also understand that there are some people you can recruit to operate the tier 3 shops and they then turn into tier 4 shops and can sell really high end stuff or hard to find stuff -- so restaurants have more than just instamash, general goods stores have lots of copper and fiber optic containing parts, etc. Even legendary items may be in these "tier 4" shops.