I would consider a well-tailored sheath dress a must-have for every woman. If you find one that fits right, they are flattering on any body type. You can dress them up or down, and usually even wear them in professional situations. And they don't have to cost a fortune-I bought this one at Wal-mart for $23. The fit was off, but I actually used my sewing machine to add a couple darts in the waist myself, and now it fits perfect.
Here's some points to consider though:
1) If you're petite, make sure the dress hits you at the knee or slightly above, anything longer will make you look shorter.
2) Sturdy fabric is a must if you are concerned about hiding any flaws. My sheath dress is actually made out of a thick knit, which is very forgiving.
3) Make sure any seams hit you in the right places. A problem that my mother and I have is that many tailored dresses are made for a shorter woman, in that they start poufing out at the hips in a place that hits too high. Most of them have an actual area where your rear end is supposed to fit into-so make sure your booty is sitting in there right. Keep trying on, you'll find one!
Scarf-Vintage (Thanks Grammy!)