Structure URLs for SEO Views

[ops]

What’s the best way to structure URL’s for SEO points?

A number of people say that pages should be close to the root of the domain. So we could have:

xyz.com/product-one-keywords.html
xyz.com/product-two-keywords.html

and others say that a logical URL directory structure should be used, such as:

xzy.com/category/subcategory/product-one-keyword.html
xyz.com/other-category/subcategory/product-two-keyword.html

Which I prefer seo point of views.

Thanks in Advance.

[Brynnae]

You should use

xyz.com/other-category/subcategory/product-two-keyword.html

but with one change, do canonical URL for general, add attribute in meta details for canonical URL.

xyz.com/other-category/subcategory/ this things will be repeated in all URL so in order to avoid treating as duplicate you can do URL as canonical, so search engine will treat as single URL.

Remove .html also. This will be treated as clean URL and for SEO point of view it will be more useful. The keyword will look like...

xyz(dot)com/other-category/subcategory/product-two-keyword