When talking about computer systems,

A folder (also called directory, or catalog) is a way to organize computer files by name, type or other criteria. A directory is a storage space that many files can be placed into to group them together and organize the computer. A folder can also contain other folders. A folder is an addressable virtual location on any data storage device where programs, files, and other folders may be located.

A folder’s path points to its address where it’s content may be accessed.

For example if you created a folder called categories and put another folder inside it called news then the path to that folder would be

“categories/news/”.

If this folder happens to be located on a web server that is connected to the internet then the internet address would be the server’s ip address plus the path to the folder. For example if your host server’s ip address is 123.45.67.89 then the folder’s internet address would be:

http://123.45.67.89/categories/news/

The host server is the device where your website is physically located.

If you happen to have purchased and registered a domain name like yoursite.com through any industry standard domain registrar and have the nameserver pointers set to your host server ip address then the address to access this folder on the internet could very likely be:

http://www.yoursite/categories/news/

With General Purposes Nodes(tm), creating internet folders on your host’s web server is as easy as creating a node.

See also:
What is a domain?
What is a node?