SID---is the name of the database.

TNSNAMES.ORA-----This files contains the information which is used by the system

to connect to oracle database.
This file is usually located at the following path.
.....\oracle\product\10.2.0\db_1\NETWORK\ADMIN
It contains several informations like
PROTOCOL
HOST IP ADDRESS
PORTNO
SID
etc
A typical entry in this file looks like this.
Expand|Select|Wrap|Line Numbers MES =
(DESCRIPTION =
(ADDRESS = (PROTOCOL = TCP)(HOST = 10.35.15.1)(PORT = 1521))
(CONNECT_DATA = (SID = MES))
SID -> means Oracle System Identifier
TNS -> means Transparent Network Substrate
SID is the name of the Database to which we are connecting to
The full form of SID is SystemIdentifier which should be unquie in the TNS.ora f
ile
TNS file contains info , through which the System connects to Oracle Database.
TNS file contains
1)PROTOCOL ( Mostly TCP..TransmissionControlProtocol)
2)HOST IP ADDRESS (Where the Database is resided ..Generally we call it as Serve
r.Even the DSCP number acts as substitute)
3)PORTNUMBER ( 1521..Widely used by oracle)
4)SID (the name we provide for DataBase)
5)SERVER (Dedicated/Shared Which is defined at DB CREATION LEVEL)