nchar, nvarchar, ntext are the unicode equivalent of their counterparts. The unicode is a 2 byte character instead of 1 byte character found in latin based languages. The use depends on which languages you are programming for.
nvarchar
Variable-length Unicode character data of n characters. n must be a value from 1 through 4,000. Storage size, in bytes, is two times the number of characters entered. The data entered can be 0 characters in length. The SQL-92 synonyms for nvarchar are national char varying and national character varying.
varchar[]
Variable-length non-Unicode character data with length of n characters. n must be a value from 1 through 8,000. Storage size is the actual length of the data entered, not n bytes. The data entered can be 0 characters in length. The SQL-92 synonyms for varchar are char varying or character varying.
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