That sounds like either the FTP server isn't running, or that the port is closed. The FTP server should be part of inetd (but so is the telnet server - so if you can telnet into your system, inetd is running), so I would check and make sure inetd is running (it almost certainly is, but it never hurts to be sure, right?). You can check with this command:
ps -ax | grep -e "inetd"
The 'ps -ax' gives a complete listing of all the processes running on the system, the passes the list via the '|' to 'grep -e "inetd"' which looks for any lines that contain the text "inetd".
If inetd is running, then it's either not allowing FTP connections, or TCP Wrappers is blocking the connection. There should be a line in the file /etc/inetd.conf that looks something like this:
ftp stream tcp nowait root /usr/sbin/tcpd in.ftpd -l -a
If this line starts with a '#', that means that the FTP service is disabled. If there's nothing infront of the line, that means that the FTP service is enabled. If you enable the service here, you'll need to reboot or restart the inetd service. To restart the inetd service, use these commands (from the console ONLY):
If this does not clear up the problem, look at /etc/hosts.allow and /etc/hosts.deny. These files control the TCP Wrappers extensions that might be blocking the FTP port. The following is a simple hosts.allow:
And the following is a simple hosts.deny:
ALL: ALL@ALL, PARANOID
This assumes that the only hosts you want to allow to connect are 192.168.1.1 and 192.168.1.2. This configuration allows those two hosts to connect to any service that they want to, and denies everybody else. More info on these files and how to fine tune them can be found in the man pages (man hosts.allow, man hosts.deny)
Oh, and to answer your original question, using the IP address instead of the host name should be fine - in fact that is more likely to work in all cases than using the host name.