I want to know how do I rank in Top spots on Yahoo Search Engine for niche websites. Does Link Building plays a role in this?
Content is important for any search engine. Make sure your site offers something of value to the visitor. Relevant backlinks may also help, and may also produce direct traffic on their own.
Agree with danasurvey, If you want to rank for your target keywords make your site pages an interesting and informative story in which pertaining on particular pages of your website. Consider user experience in your site.
Link building is not the first thing you should do, but to stuff your website with INTERESTING, ENGAGING AND VALUE-RICH content. Then, you can proceed to SEO, social media marketing and link building. Good luck!