Hi Krishna,
You can install SUP/SMP server as well as SDK on your laptop. Make sure you got admin rights and min RAM size should be 4 GB.
If there are more than 1 developer, then better you install SMP server on a server machine and whosoever wants can access it from mobile SDK workspace.
Latest available installation at Market place is SMP 2.3 SP04. (Sine SMP 3.0 is still in Ramp-up and hasn't released in the market) For more details you can refer official document SyBooks Online
If you are planning to work with SMP 2.3 SP04, you can directly install it ( I mean no need of base version SMP 2.3 and upgrade to SP04) SMP 2.3 SP04 Install
I hope this is clear.
Rgrds,
JK