Hostname Configuration Files
According to my reference manual, RHCSA/RHCE Red Hat Linux Certification Study Guide, "the /etc/hosts file is a static database of hostname and IP addresses". It also states, "that every time a system is added or removed, you'll have to change this file--not only on the local system, but also on every other system on the network".
Does this mean that if I am setting up a test network with three VM's, using static IP addresses, that I must add the static IP address and hostname for the three VM's to this file and then do the same thing on each of these VM's /etc/hosts file too?
If so, why is this required, so they can communicate?