It means to create something that naturally attract backlinks for your web page by getting people to talk about it, discussing it on forums, blogging about i, posting it on del.icio.us/Furl/Digg/Shoutwire and linking to it from their sites. It also attracts a lot of visitors. A Link Wheel is an interlinked network of content pages created on popular Web 2.0 sites such as Squidoo, Hub Pages, Blogger (Blogspot), Wordpress and so on
Link bait is Using of methods for hyper linking to/of different websites, and Link Wheel is a set of mini sites using of Web 2.0 sites.
Link bait is the art of how you entice and attract people and bloggers to link to your page while Link Wheel is the new tool in Google wherein you interlink pages via an art of linking that doesn't put any link back to each other. You can see samples of link wheel in the sidebar when you use Google Search labelled as the Wonder Wheel - tool.
Link wheels are losing their effectiveness in increasing your SERPs. Also many are easily traced, and many SEO experts are moving away from its practice.
Link bait is creating content for the purpose of generating buzz/links. Link wheels are a web 2.0 link building method. They are two very different concepts. Good link bat is hard to create but ALOT more effective.
Link wheel: Link wheel strategy is where you’ll be creating web 2.0 websites like wordpress, blogspot, squidoo, and other web 2.0 websites that will link to your money site. In the old days, they just link their web 2.0 websites to their money site which is not a good idea. But now, it has been improved. How? By linking your web 2.0 websites to each of your web 2.0 websites and also to your money site. Why do it that way? Because it will not only increase the popularity of your money site but it will also increase the popularity of your web 2.0 websites which will give MORE power to your money site. That is why it is called the Link Wheel Strategy. Link Bait: The term linkbaiting is a one that seems to have surfaced over the past 12 or so months and that is used by webmasters to describe a variety of practices – all of which seek to generate incoming links to a website or blog from other sites.
Link Wheel: link wheel is combination of different link which ultimately point back to your website....... Link Bait: To something create something that naturally attract backlink for your web-page