PokéBase - Pokémon Q&A
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The Pokeradar is a device that tracksdown rare Pokemon. After you beat the Pokemon League, it is given to you. If you walk around enough, the battery will get charged, and in you Bag, select "Use". If you are in tall grass, some spots will shake. If you walk into one, a Pokemon that isn't usually seen in the grass might appear.

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Also if you catch or kill the pokemon you encounter the chain starts.
http://bulbapedia.bulbagarden.net/wiki/Pok%C3%A9_Radar