I've not read (much) into SQL Server aliasing, it feels like a good, simple way to avoid managing configurations across multiple environments (developing on (local) instance, but production is a DbServerName\Instance), and test environments have different again. To clarify, it's desirable in my opinion to avoid having to change web.config's, spring database xml's manually, or programmatically swapping/changing them on every install.
I don't like lots of manual steps (or overly complex code behind an installer).
Is there any reason why aliasing (local) (a one-off change) to point to a specific server is a bad idea? I can't think of one, but I'm interested to hear the reasoning behind using or not using it...