Naming sub-directories of a domain?

Does it affect rankings?

[Eljaybe]

If I am building a web site that will consist of a general home page about widgets (www.widgets.com), what is the best way to name my other pages that link from that home page that talk about Red widgets, Blue widgets, Green widgets, etc.? For instance, would I name the page that talks only about Red widgets red.widgets.com or widgets.com/red.htm?

I am new at this, but I was wondering if either way is acceptable, and which form of the name will rank higher in the search engines for the keyword phrase "red widgets"?

Hope I'm making sense..?

[Birdman]

If it's all about widgets, go with

site.com/red-widgets/
site.com/blue-widgets/
...etc.

If you create subdomains, they are like standalone sites and will have to be promoted individually. Too much work if you ask me, but it could work for you.

That's just my 2c worth and I have never used subdomain so anyone else feel free to correct me if I'm wrong. It wouldn't be the first time ;)