Simple Breadcrumb Navigation
Using a plugin is the most common way to create breadcrumb navigation. The most popular plugin is Breadcrumb NavXT Though this is a functional plugin, it is not the best (too many database queries as well as having to include a plugin with your theme is rather clunky).
This article:
http://www.kriesi.at/archives/wordpress-tutorial-simple-breadcrumb-navigation
Details how to do it in a simple, efficient way. It may not have as many features, but it gets the job done.
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