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Hi There, Do - Good Onpage SEO Do - Dir. submition Do - PR & Clasifed Do - Artical Submition Do - Social Bookmarking will get good rank ..
It does not matter and you start the onpage of websites in which you will put good keywords, description and title related to business and then start the offpage optimization work which will generate the quality backlinks for your websites.
what keywords you choose it entirely depends on how fast you can compete with your competitiors. Competing for keywords like xbox, wii won't be easy unless you can gather tons of backlinks from good niche sites. Try choose less competitive keywords.
If you want to do SEO for your website, search the effective keywords and put in onpage with meta desciption and keywords and do the effective Offpage work which include the directory submission, article submission and forum posting as signature.