Outlook 2007 - folders Vs leaving in Inbox

My OS is win 7 prof 64 bit and I use Outlook 2007 for my emails.  As I get tons of emails, thus I create separate folders and file them there.  By chance when my Outlook 2007 dropped dead and Microsoft tech support was fixing it, I observed that by using the Group command from the "View", it does the same thing.
The first method of creating folders will get me into problems when I have to recreate my email account, and when outlook tries to download the emails, there are sometimes sync issues and it leads to other issues like emails not going out and also not coming in at all.

My question is, if leaving the emails by groups in the Inbox a good idea?  Are there any Cons for this strategy.  Thank u for your suggestions.
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If you have A LOT of email, making subfolders is still preferable in the long term. That is, if you have a good plan for it.
Searching that subfolder will be faster if you already know what you're searching for is in that subfolder.
Grouping the view is not always faster, you still have to use the mouse or scroll bar to get to where you want to be, where as clicking to the subfolder will lead you to the files you want.
Grouping the view is Outlook's take on it (based on sender, or subject), maybe you have another view in your head (one company, or one type of subjects), and if you keep to that, you will still be able to find what you're looking for much faster.
You can also use rules to drop them in the subfolders. If you use the unread (bold) counter, it might be easier for you to spot what you have to process next.
Copying/backup is much faster, you don't have to select a few tons of seperate emails from the inbox, just copy the subfolders.
Anyway, there are probably pros for keeping it in the inbox, I just feel subfolders are still the way to go.

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jegajothyretiredAuthor Commented:
Thank u for the excellent suggestions.
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