Geo Targeting - What's the right way for Classified sites Targeting Various Countires

[J Koresh]

Hello Folks,

Since Geo Targeting is an integral Part of most Classified sites, so what would be the best practice to target Different Countries/cities. Is it good to mention different cities/ Countires in every page created for an SEO puposes. An Example woudl be for the Title Tag in two different countries as exampled below. My site will be running from U.S
Can Google Webmaster Tool be used for this reason or the script itself has somekind of algorithm in place.

Title A : "Pre-owned PEUGEOT 404 For Sale in Manchester U.K"
Title B : "Used Mercedes Benx S320 For Sale in Tampa Florida"

( While I check listings on Google of so many websites in U.S and abroad, I see mostly the Titles as

" Pre-owned PEUGEOT 404 For Sale
" OR "Used Mercedes Benz S320 for Sale"
In this case the website is operated from England but search engines showed it to me here in the U.S. Do they use some kind of geo plugin that does it? In both Titles there is no mention of Countries or Cities

Note: The reason I am asking is that someone has said that for Classified Sites, It is important to List the names of Countires and Cities in the Footer on Homepage. Names of countries can be done but to list the endless names of cities might get penalized by search engines. Am I correct?.
One option I see is to List the names of Cities in every page I create. Would this cause problem?

Any idea / input would be appreciated.

Thank you.