An order state can have multiple order statuses, whereas one order status is the default of one order state.
You can check out the Order States and Statuses here: System > Order Statuses as shown in this picture:
Standard order status as of Magento CE 1.9.2.0 (see table sales_order_status) are:
- Canceled
- Closed
- Complete
- Suspected Fraud
- On Hold
- Payment Review
- PayPal Canceled Reversal
- PayPal Reversed
- Pending
- Pending Payment
- Pending PayPal
- Processing
The order statuses are already explained in detail here: http://magento.stackexchange.com/a/516/231https://magento.stackexchange.com/a/516/231
