Hello,
Unfortunately, your Mac doesn't have firewire, so you can't use Target Disc Mode.
As far as connecting the Macs via ethernet, I believe that both of them must have file sharing turned on. If you decide to take the hard drive out, here's some instructions from MacWorld.
"You must remove the CD-ROM drive to expose the hard drive beneath. The CD-ROM drive is held in place on the front of the drive mounting by a couple of hooks (A) that slip through slots in the drive cage. To remove the CD-ROM drive, push in the face of the drive to slip these hooks out of the slots, then lift the drive up and over the top of the cage. Once the CD-ROM drive is clear, disconnect its ribbon cable. Put the drive aside.
With the hard drive exposed, remove the metal clip over the drive and the two Phillips screws on the top of the cage--on the left and right sides of the drive (B). These screws secure the hard drive's bracket to the cage.
Pull the bracket from the cage, and disconnect the drive's data and power cables. Unscrew the bracket screws, remove the old drive, and set it aside.
With the new drive, reverse this process by attaching the bracket and cables, slipping the bracket back into the cage, screwing the bracket to the cage, reinstalling the clip over the drive, and replacing the CD-ROM drive."
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