First, are you trying to connect to the named instance or the default instance? Only one of them can be listening on port 1433.
Second remove this line from the host file. It is doing nothing for you. You can probably remove the other line for the server as well, unless you don’t have a reference in DNS for the server.
Can you telnet from your workstation to the port that SQL Server is running on? The default instance will be 1433, the named instance will be something else. To find the port number of the other instance your computer will need to be able to access UDP port 1434 on the SQL Server, and the SQL Browser service will need to be running.
If you can telnet to the remote port then the firewall is open. If you can’t then the firewall isn’t allowing the connection.
After you have checked that check the errorlog on the SQL Server to make sure there’s not some strange error in there that needs to be addressed.