My (C#, .NET 3.5) application generates files and, in addition to raising events that can be caught and reacted to, I want to display the target folder to the user in a form
If you want to open a different window to display the target folder's content you can use System.Windows.Forms.OpenFileDialog, or SaveFileDialog, or inherit from FileDialog and extend it.
To allow the user to select a folder you can use FolderBrowserDialog, though as a user I don't like that control.
Does this help or you absolutely have to embed a control in your form?
Asaf