This is a nice Blog post for the solution to this problem :- http://stackoverflow.com/questions/5717310/accessing-sql-server-on-windows-server-2008-r2-from-remote-client
The solution which worked for me is :-
Here is a summary of what worked for me to get remote connections working. I am not an expert in this so some of my steps may not be necessary. I took some of the steps from other answers to this question.
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Open SQL Server Configuration Manager
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Select SQL Server Network Configuration
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Chose your instance of a SQL Server
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Make sure that TCP/IP protocol is enabled
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Right click TCP/IP protocol
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Select properties
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Click IP addresses tab
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Scroll down to IP4. The IP address of the server should be here. Set active to yes and enabled to yes. Set TCP port to 1433 (don't know if this is necessary. Can some expert comment)
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Scroll down to IPAll. Set TCP port to 1433
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Make an inbound firewall rule for port 1433
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open sql server management studio, right click server instance, properties->connections-> allow remote connections. Security-> SQL Server and Windows Authentication mode
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restart sql server service
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restart sql server browser
ce6aa281-9a7d-47db-90ba-3867d2f059f6|0|.0|96d5b379-7e1d-4dac-a6ba-1e50db561b04
MSSQL 2008
Remote Access SQL Server 2008 R2