How can I prevent someone from tracking my Android phone? Otherwise, how can I fake the location?

I have a Samsung Galaxy. I have heard that I can turn off my data, GPS locator, or the phone itself but I would like to be able to keep my phone with me and on at all times and have normal functionality. How can I prevent someone from tracking my device? Is there a way I can route the tracker to a specific location when I want so that I could just tell them I am at that location even when I'm not? I am willing to root my device and install any kernel or ROM; whatever it takes.