Hello Sathish
Yes that is correct. Just like @davidilles demonstrated, Local Preference is not an attribute that is shared between eBGP peers. It is only shared between iBGP peers. It is a value that indicates which edge iBGP router should be used to reach a particular destination outside of the local AS, and thus it only has meaning to iBGP peers within that AS.
I hope this has been helpful!
Laz