Hi Ram,
I have SuSe 8.2. I did not follow your suggestion exactly --- that is, I did not create the icon. Instead, I did the following, which I think is equivalent to what you said:
1. Right click on the left-most round green butoon in the panel at the bottom of the desktop.
2. Choose "Menu editor" from the menu that comes up. I get a little window titled "Edit K Menu - KDE Menu Editor".
3. In the tree in the left-hand side panel of the menu editor, follow SuSe --> Internet --> :/WWW --> Konqueror Web Browser.
Thereby you try to edit a SuSE distribution file that's not located within your $HOME. You don't have permission to edit those menu entries. Try to make a copy of that entry to a custom menu branch. Then editing should work. Kind regards Frank