IPhone : XCode No matching codesigning identity found

I am very new to iOS/iPhone development and I am trying to build an application from it's source, using XCode 5.1 on iOS 7.1.

I am getting below error when I try to build the source:

Code Sign error: No matching codesigning identity found: No codesigning identity (i.e.  certificate and private key pair) matching "iPhone Developer" were found. 

CodeSign error: code signing is required for product type "Application" in SKD "iOS 7.1"

Is it that I need some kind of certificates to build this source?

I want to build this application and run on a iPhone device.

I have seen number of questions related to code sign, but non have addressed this issue so i am posting it.