Hi Guroo,
Vlan database was very old tradional configuration mode for vlans.
You can configure normal-range VLANs (with VLAN IDs 1 to 1005) by using both the configuration modes but you must use config-vlan mode when creating extended-range VLANs (VLAN IDs greater than 1005).
When you go to vlan database mode and enter vlan ? you will not get any option for vlan id greater than 1005 but when you go to config mode and enter vlan ? you will get an option for extended vlan id also.
To create extended vlan id switch should be in transparent mode.
The configurations of VLAN IDs 1 to 1005 are always saved in the VLAN database (vlan.dat file). If the VTP mode is transparent, they are also saved in the switch running configuration file.
HTH
Ankur
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