searching in database, pages or post?

I am setting up a WP site and one main function is CMS. I wondered what is the best way to go in doing that and the steps I need to take in order to accomplish it. I am using wp 2.6.2 and the version of mysql is 5.x.

My desire is for the site to be able to search a listing of information. Like an address book of people. Then the results to show on screen.

Do I setup a separate mySQL database and import that information? If so, how do I get it to connect and search that database?

Do I add that into a different table in the mySQL that WP created? If so, how?

However, my understanding is that once I place information into the wp page or post it is already entered into the database…right? Well, when I place a table list into a page and/or a post, then search feature in WP does not search correctly. For instance, if I search for Illinois, it just lists the whole table of information in a list format. So I must have missed something.

I have looked for plugins, but so far I am unable to locate one to help me.

Any help to resolve this would be greatly appreciated. Thank you.