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What would be the best approach at handling multiple white label stores with a single magento installation.
The only difference between stores will be their domain, skin and name and address.
I assume there are multiple ways of achieving this but I am looking for the most accepted method as best practice
Domain is only managable at global or website level. So this restrict your choices.
By the way, this will allow you to do everything you asked to, and more, like compartmentalizing customer that you might need for white label.