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How should I change VM's network settings?

Suppose I have a Ubuntu VM, and I want to change its DNS, or give it a fixed static IP, should I change the settings within Ubuntu (/etc/network/interfaces) or should I be looking into VMFusion's settings?

Reason I'm asking is because I have 2 VM's (different machine, but same network) with the same settings for VMFusion and same contents in VM's /etc/network/interfaces but a different /etc/resolv.conf.

Hence one was able to download file via wget, and the other has a `unable to resolve hostname` error.

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In Fusion itself you'll usually only configure the network type, i.e. Bridged, NAT or Host-Only. If you don't want to use DHCP, you have to configure the network settings within the guest OS. Please remember that for NAT and Host-Only networks, IP addresses above ...128 are reserved for the DHCP server.

André