STUFF vs REPLACE

(see PIVOT Table Post for its usage)

STUFF - Deletes a specified length of characters and inserts another set of characters at a specified starting point.
SELECT STUFF('abcdef', 2, 3, 'ijklmn')
GO
Here is the result set:
---------
aijklmnef
REPLACE - Replaces all occurrences of the second given string expression in the first string expression with a third expression.
SELECT REPLACE('abcdefghicde','cde','xxx')
GO
Here is the result set:
------------
abxxxfghixxx