For which entities is it necessary to create an entity name file?

Creating an entity name file is specifically required for custom entities and entities that do not have defined display names. This ensures that all entities are correctly represented in the user interface and are easily identifiable across the application.

Custom entities may not inherit the naming conventions or display properties from standard entities, thus necessitating a dedicated definition for clarity and usability within the system. Similarly, entities that lack display names require an entity name file to provide the necessary context and improve user experience, as their absence could lead to confusion or misrepresentation.

For standard entities and those referenced directly in the UI, they typically come with predefined display names, which eliminates the need for an additional name file. Additionally, entities not used in business processes would not be a priority for naming, as they do not interact with the user or require representation within the operational framework of the application.

Therefore, focusing on custom entities and those without display names addresses the core need for clarity in entity identification, which is why this choice is the appropriate answer.