So i've been searching for about the past 30 minutes on these forums trying to find out what purpose the data files button serves that is located on the skyrim launcher and also what does checking various items on the data file list do. I also want to know what load loose files means and what purpose does it serve when checked because all i've found is people complaining about how the options is greyed out or whatever but no explanation on what the heck it and the "load loose files" option actually does.

all advice is much appreciated

That is the interface to enable whatever mods you put into your Data/ folder.

When you start using mods, you'll see!

(however, in reality you will probably use a mod managed to load 'fomods' like Fallout 3/Oblivion etc)

The checked files you see there currently is the main Skyrim '.esm' file. A mod is similar, and just loads content into the game world by checking it.

yeah i've seen the skyrim.esm file and i've already got a few mods and that is why i became so interested in what functions it actually serves because i got a mod to spiffy up the blood textures and it put an extra item into that data file list. I've installed all my mods manually as well but the blood textures mod is the only mod with a file that shows in the data files list, all of my other mods work fine but none of them have files that show up in the data files list

Only certain mods will show up on the list. Meshes/textures/interface stuff will not have to be checked on the data file list. Only esp and esm files have to be checked off. They're the ones that make direct changes to the game (and not just meshes/textures).