I presume you are aware of these facts:
- There are many different character sets: you have to pick one and, of course, know which one you are using.
- Oracle is perfectly capable of storing text without HTML entities (
é
). HTML entities are used in, well, HTML. Oracle is not a web browser ;-)
You must also know that HTML entities are not bind to a specific charset; on the contrary, they're used to represent characters in a charset-independent context.
You indistinctly talk about ISO-8859-1 and UTF-8. What charset do you want to use? ISO-8859-1 is easy to use but it can only store text in some latin languages (such as Spanish) and it lacks some common chars like the € symbol. UTF-8 is trickier to use but it can store all characters defined by the Unicode consortium (which include everything you'll ever need).
Once you've taken the decision, you must configure Oracle to hold data in such charset and choose an appropriate column type. E.g., VARCHAR2 is fine for plain ASCII, NVARCHAR2 is good for UTF-8.