Why you need to go for the isolated database for each tenant (shop)? 
What are all the advantages and disadvantages of this? How you will 
achieve this technically in ROR application? How the active records will 
know what connection to use?

Just curious to know since we are also analyzing deep in what are all 
the pros and cons in using the isolated database for each tenant. We 
have some thought on this design. Just curious to know what others are 
thinking on this.
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