Components are similar to Server Side Includes (SSIs), in that the include PageKit Templates inside other PageKit Templates. However, the can also have code associated with them that fills in the Model Tags, including <MODEL_VAR>, <MODEL_LOOP>, and <MODEL_IF>.
The PKIT_COMPONENT tag specifies where the component should be included. The Component can either be a PageKit Template file, or a PageKit Template generated from the Content/component_id.xml XML file.
The following example illustration how absolute and relative paths work: