Smart travel round a city (7)
I believe the answer is:
chicago
'city' is the definition.
(Chicago is an example)
'smart travel round a' is the wordplay.
'smart' becomes 'chic' ('chic' can be a synonym of 'smart'**).
'travel' becomes 'go' ('go' can be a synonym of 'travel').
'round' indicates putting letters inside.
'chic'+'go'='chicgo'
'chicgo' going around 'a' is 'CHICAGO'.
(Other definitions for chicago that I've seen before include "America's Windy City" , "3 city in the US" , "City on Lake Michigan" , "1970s' John Kander/Fred Ebb musical" , "Port on Lake Michigan" .)