I got the solution of this problem. Actually the problem was the way I was picking the logo image. In my above code the line to get the image path is like this:
Request.MapPath(GetLogo());
Here problem is that Request.MapPath() maps the specified virtual path to a physical path. So at the time when word document was being downloaded on client machine it was looking for the header logo on the path "C:\XYZ\Dev\VNext\Scs.root\Scs\WWW\Areas\OnlineShoping\Content\Images\LOGO.png" and because of logo image exist at server not on client machine from this path that is why it was not being added in the word document at the of downloading. My problem got solved when I gave absolute path like this:
string path="http://abc.com/Areas/Content/Images/LOGO.png"
So the above code generates word document successfully with .doc extension having html data as input. Also this code does not required ms-office or ms-word installed on server.