If by domain name you mean domain suffix, then /etc/resolv.conf is where the domain goes. Just add a line domain yourdomain.com
Then to set your server's hostname, there's only one good place for it, and it's /etc/sysconfig/network. Add a line HOSTNAME=yourhostname, and don't put the domain suffix in the hostname, as it will take it from /etc/resolv.conf.
You do not need to add anything (and shouldn't) in /etc/hosts to define your hostname. This is the wrong way to do it.
To test your setup, use the hostname command:
Use hostname -s to get the short name (should reflect what you have in /etc/sysconfig/network
 
Use the hostname -d command to test your domain (should reflect what you have in /etc/resolv.conf)
 
To test it all together, you can use hostname -f or hostname -A for the very long version.