new bike - time to upgrade pedals/shoes

i work as a bike tech at dicks sports so i get bikes at about half off. im ordering a schwinn peloton pro in the next week. one quick question here...(this is bad since im a tech, but just wanted a few other opinions)

*what size should i get? i am 5' 10", not sure on my inseem. i know its gonna be medium or large.

im thinking about upgrading my look 357 pedals too. i dont want to spend momre than$150. i was looking at the nashbar titanium pedals, or the look keo. opinions on this please.

also, the shoes im using now are specialized, bought them for $75 new. i made the mistake of getting a pair that were too big also, so now i have to slide a folded sock behind my heal. i am willing to spend up to $150 on shoes. i know Sidi is the popular brand. i have a "normal width" foot. should i go with a carbon fiber sole? opinions here please.

 

I'm using Look Kéo and I'm very satisfied with them. Easy to operate. The only disadvantage is that due to the cleat design, the cleat will wear down rapidly when you walk on them. There are however cleat covers (Look Kool Covers) that will protect the cleats when you're walking and they will also prevent you from slipping. Which is a good thing in itself

For shoes, I use Sidi Genius 5 and I can definately recommend them. Sidi make quality stuff and they look good too. A lot of parts can be replaced, which makes for a long lifespan. They are very easy to adjust when riding, which I appreciate a lot. They are available with a wider fit if needed (Sidi Genius 5 Mega).
I have never used a carbon fibre sole, but from what I hear, they are overrated. More like a trend than a necessity. What matters is a good design, not if it's carbon in the sole or not.