I'd really appreciate if someone can please guide me as to how to do the pink scallop design (with the black swirly outline border) which is under crown on the top tier of this cake.  Thanks!!

Hi there, Jessica Harris has a cake similar to this on her Jessicakes blog. There's a tutorial too which might help:

http://jessicakesblog.blogspot.com.au/2011/07/maddies-fashion-birthday-cake.html

Jessica's tutorial works great (and much easier) if you are going to have a top AND bottom scallop.    For a top scallop only I cut a circle 2 inches bigger than the size of the cake.   So for a 6"  cake...cut a 8" circle and take a circle cutter to make the scallops.   Let it sit for a few minutes, as transferring to the cake can be a PITA...as it will want to stretch.    Roll the fondant thicker than normal to help it from stretching when moving from table to cake.

As this design is adorable...it is a tad bit challenging.

Thanks so much! I am not quite able to wrap my head around how to do the scallops with a circle cutter... will try doing it on a smaller circle to see how it comes out. 

You know, come to think if it...my scallop was more of a freestyle scallop....If you print up a template..and lay it out on a piece of fondant and cut it out with your exacto knife you can get the end result.   Just google "scallop circle" and look for one that doesn't super close scallops.   I found this one below that I think would work good.

Maybe some that has done a top scallop has a better way.  I don't always do things the easiest way. 

omg! THANK YOU so much! Very sweet of you! And it is a great idea. I will print this off and use it as a template. Thanks again!!

You're welcome...and please post your pic when you are done!   Would love to see it.