With DNS, you can have a servername resolving to 3 different IP addresses. By default, the client will receive the IP addresses in the round robin fashion if it has not been disabled in DNS.
But with /etc/hosts, there is no way to assign a hostname with multiple IP addresses.
if your nsswitch.conf has been configured to use /etc/hosts file, with the above entries, any gethostbyname(servername) system call will only return ipadd1.
If you have a DNS server in your environment and if you would like client connections to your server to be load balanced (or distributed in want of a better word), then you can add these three IP addresses in DNJS to point to servername and by enabling "Round robin" which is ON by default.
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