These are just the basic ideas, you're welcome to research them on you're own
1. Start with a domain, for example if you want to target UK, choose co.uk domain.
2. Using Google Webmaster Tool Geotargeting you can specify which areas you want to target:
3. Choose a web hosting server that is located in the area you wish to target.
4. Get more backlinks which are based in the area you target.
5. What about languages? Does your content match the area you're targeting?
6. Utilize Google Places, get your business verified and follow other local SEO practices