No worries, you will get more intuition in it soon.
Look at the screenshot:
It’s actually quite simple. When you use the CreateNewClock function you can feed literal name or a variable into the ClockName parameter. Then you save a reference to the clock object into a variable. If you do that, you can do option no. 2. If you don’t have a reference, then QuartzSubsystem will have to look for your clock by name (which is implemented like a lookup table in the engine so comparisons are cheap). In option no. 1 you need to feed the same literal name into the function, which is a downside when you decide to change the name in the future: you will have to remember to change this name everywhere it is used in the whole project (and there might be same names but used in different functions with different goal).
Make literal is what you were missing here. 
Good luck!
P.S.
Name: ‘None’ is a special reserved name to indicate that it was never set or it was an invalid name. With pointers in C/C++ is the same story: there’s a nullptr which is truly a pointer of value 0.