Unlike other consoles where the superstar just lies on the ground long enough for you to preform a finisher, PSP is different. I don't know why, could be a glitch. But the superstars don't stay down long enough. So, press L, Square and X simultaneously and wait until the Superstar finishes his/her taunt and press L, Square and X again to perform the finisher. Obviously, it'll only be ready to use at the right position, whether it is top rope/ringside/standing etc.
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You cannot do finishers in the psp version
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All PSP models except for the PSP Street, PSP-E1000 series.
Yes, all PSP games are specifically developed for the PSP console so they will all work. The same cannot be said of PS Vita games, Vita games won't work on the PSP.
There are no such things as 'PSP 1001' games. All UMD games work with all models of the PSP, excluding the PSP GO which has no UMD slot.