I prefer silence, but I'm ok with reading on the train (if talking people get too annoying, I just turm my mp3 player on).
Both indoors and outdoors, it depends on the weather and where I am and such. I read all through out the day, in the morning on my way to work, on my way back to work, in bed, during the day at the weekend.
I like to sit down with a piece of cake and a nice drink at starbucks, I do this sometimes as a treat and sit there for hours and hours. But normaly I don't feast while reading, too much reading time spent on the train.