diff --git a/.github/workflows/main.yml b/.github/workflows/main.yml
index ff0fc926..e369e1ee 100644
--- a/.github/workflows/main.yml
+++ b/.github/workflows/main.yml
@@ -280,7 +280,8 @@ jobs:
           key: output-example-jit-cargo-${{ hashFiles('example/src/main.rs', 'example/Cargo.lock', 'example/hello.wit') }}
 
       - name: Test Example
-        run: cd example && npm run build && ./test.sh
+        working-directory: examples/hello-world
+        run: bash test.sh
 
   test-aot:
     runs-on: ubuntu-latest
@@ -349,4 +350,5 @@ jobs:
           key: output-example-aot-cargo-${{ hashFiles('example/src/main.rs', 'example/Cargo.lock', 'example/hello.wit') }}
 
       - name: Test Example
-        run: cd example && npm run build && ./test.sh
+        working-directory: examples/hello-world
+        run: bash test.sh
diff --git a/example/README.md b/example/README.md
deleted file mode 100644
index e1376bd9..00000000
--- a/example/README.md
+++ /dev/null
@@ -1,7 +0,0 @@
-# Example
-
-```sh
-npm install
-npm run build
-npm run test
-```
\ No newline at end of file
diff --git a/example/test.sh b/example/test.sh
deleted file mode 100755
index 51513788..00000000
--- a/example/test.sh
+++ /dev/null
@@ -1,4 +0,0 @@
-
-if ! npm run test | grep -q 'Hello ComponentizeJS'; then
-  exit 1
-fi
diff --git a/examples/README.md b/examples/README.md
new file mode 100644
index 00000000..95b889af
--- /dev/null
+++ b/examples/README.md
@@ -0,0 +1,3 @@
+# Examples
+
+This folder contains example projects that use `componentize-js`.
diff --git a/examples/hello-world/README.md b/examples/hello-world/README.md
new file mode 100644
index 00000000..c8a814eb
--- /dev/null
+++ b/examples/hello-world/README.md
@@ -0,0 +1,132 @@
+# Example Javascript component
+
+This folder contains an example Javascript project that uses `componentize-js`
+as a library to build a basic [WebAssembly component][cm-book].
+
+[cm-book]: https://component-model.bytecodealliance.org/
+
+## Overview
+
+This folder contains *two* codebases:
+
+- `guest` contains the Javascript WebAssembly Component
+- `host` contains a Rust host that has been configured to run the component
+
+### `guest` - A WebAssembly component written in Javascript
+
+The [WebAssembly Interface Types ("WIT")][wit] interface ([`hello.wit`](./guest/hello.wit)) for the component is:
+
+```wit
+package local:hello;
+
+world component {
+  export hello: func(name: string) -> string;
+}
+```
+
+A Javascript (ES) module that conforms to the interface shown above looks like the following:
+
+```js
+export function hello (name) {
+  return `Hello ${name}`;
+}
+```
+
+> [!NOTE]
+> The ES module is assumed implicitly to *be* the targeted `world`.
+>
+> This means that the JS export of the `hello` function maps to the
+> WIT `hello` `export` of the `component` world.
+>
+> The world does not have to be called `component`.
+
+See [`hello.js`](./guest/hello.js) for the full code listing.
+
+We call the produced WebAssembly component "guest" as it is code that will run on
+the WebAssembly virtual machine/runtime.
+
+[wit]: https://github.com/WebAssembly/component-model/blob/main/design/mvp/WIT.md
+
+## `host` - A WebAssembly runtime embedding written in Rust
+
+Since our component does not export a standardized way to run it (in this case,
+the standard we *could* have used would be [WASI CLI][wasi-cli]), we must use a custom host which
+embeds a WebAssembly runtime ([`wasmtime`][wasmtime] in this case) to run the WebAssembly Component.
+
+`wasmtime` is easiest to use from [Rust][rust], so we have the `host` that contains
+setup code which enables use of the component we wrote, and calls it.
+
+See [`host/src/main.rs`](./host/src/main.rs) for the full code listing.
+
+[wasmtime]: https://github.com/bytecodealliance/wasmtime
+[wasi-cli]: https://github.com/WebAssembly/wasi-cli
+[rust]: https://rust-lang.org
+
+## Build the component
+
+To build the WebAssembly component, enter the `guest` directory and install dependencies:
+
+```console
+npm install
+```
+
+Then either run the `componentize.js` script directly:
+
+```console
+node componentize.js
+```
+
+Or use the pre-configured `build` script:
+
+```console
+npm run build
+```
+
+## Run the component
+
+### Via automation
+
+To run the component and test it's output, use the included bash script:
+
+```console
+./test.sh
+```
+
+### Manually
+
+To run the component manually, we must run our custom `wasmtime` embedding manually.
+
+First enter the `host` directory and use `cargo run`:
+
+```console
+cargo run
+```
+
+## Common Issues
+
+### No such file or directory
+
+If you get an error that looks like the following:
+
+```
+thread 'main' panicked at src/main.rs:39:67:
+called `Result::unwrap()` on an `Err` value: failed to read from `../../guest/hello.component.wasm`
+
+Caused by:
+    No such file or directory (os error 2)
+```
+
+This means that the default path (which is relative, and embedded in the binary) to the component
+produced by the `guest` is not present.
+
+To fix this, specify `COMPONENT_WASM_PATH` as an environment variable before `cargo run`:
+
+```console
+COMPONENT_WASM_PATH=/absolute/path/to/hello.component.wasm cargo run
+```
+
+If you're running the produced `wasmtime-test` binary itself:
+
+```console
+COMPONENT_WASM_PATH=/absolute/path/to/hello.component.wasm path/to/wasmtime-test
+```
diff --git a/example/componentize.js b/examples/hello-world/guest/componentize.js
similarity index 73%
rename from example/componentize.js
rename to examples/hello-world/guest/componentize.js
index 7eada9c4..8f250158 100644
--- a/example/componentize.js
+++ b/examples/hello-world/guest/componentize.js
@@ -1,8 +1,10 @@
-import { componentize } from '@bytecodealliance/componentize-js';
 import { readFile, writeFile } from 'node:fs/promises';
 import { resolve } from 'node:path';
 
-const enableAot = process.env.ENABLE_AOT == '1'
+import { componentize } from '@bytecodealliance/componentize-js';
+
+// AoT compilation makes use of weval (https://github.com/bytecodealliance/weval)
+const enableAot = process.env.ENABLE_AOT == '1';
 
 const jsSource = await readFile('hello.js', 'utf8');
 
diff --git a/examples/hello-world/guest/hello.component.wasm b/examples/hello-world/guest/hello.component.wasm
new file mode 100644
index 00000000..9bf27ec6
Binary files /dev/null and b/examples/hello-world/guest/hello.component.wasm differ
diff --git a/example/hello.js b/examples/hello-world/guest/hello.js
similarity index 100%
rename from example/hello.js
rename to examples/hello-world/guest/hello.js
diff --git a/example/hello.wit b/examples/hello-world/guest/hello.wit
similarity index 79%
rename from example/hello.wit
rename to examples/hello-world/guest/hello.wit
index 1060f6e1..43f85fd4 100644
--- a/example/hello.wit
+++ b/examples/hello-world/guest/hello.wit
@@ -1,5 +1,5 @@
 package local:hello;
 
-world hello {
+world component {
   export hello: func(name: string) -> string;
 }
diff --git a/example/package.json b/examples/hello-world/guest/package.json
similarity index 58%
rename from example/package.json
rename to examples/hello-world/guest/package.json
index ec298006..0688020c 100644
--- a/example/package.json
+++ b/examples/hello-world/guest/package.json
@@ -5,7 +5,6 @@
     "@bytecodealliance/componentize-js": "*"
   },
   "scripts": {
-    "build": "node componentize.js && cargo build --release",
-    "test": "./target/release/wasmtime-test"
+    "build": "node componentize.js && cargo build --release"
   }
 }
diff --git a/example/Cargo.lock b/examples/hello-world/host/Cargo.lock
similarity index 100%
rename from example/Cargo.lock
rename to examples/hello-world/host/Cargo.lock
diff --git a/example/Cargo.toml b/examples/hello-world/host/Cargo.toml
similarity index 100%
rename from example/Cargo.toml
rename to examples/hello-world/host/Cargo.toml
diff --git a/example/src/main.rs b/examples/hello-world/host/src/main.rs
similarity index 61%
rename from example/src/main.rs
rename to examples/hello-world/host/src/main.rs
index 52be8a98..0449863b 100644
--- a/example/src/main.rs
+++ b/examples/hello-world/host/src/main.rs
@@ -1,3 +1,5 @@
+use std::path::PathBuf;
+
 use anyhow::Result;
 use wasmtime::{
     component::{Component, Linker},
@@ -6,11 +8,23 @@ use wasmtime::{
 use wasmtime_wasi::{ResourceTable, WasiCtx, WasiCtxBuilder, WasiView};
 use wasmtime_wasi_http::{WasiHttpCtx, WasiHttpView};
 
-wasmtime::component::bindgen!({
-    world: "hello",
-    path: "hello.wit",
-    async: true
-});
+mod bindings {
+    // This macro produces generated code that is used to link
+    // the functionality exposed by the component, and eventually
+    // call it.
+    wasmtime::component::bindgen!({
+        world: "component",
+        path: "../guest/hello.wit",
+        async: true
+    });
+}
+
+// Default path to the WebAsssembly component as generated in the 'guest' folder,
+// facilitating `cargo run` from the 'host' directory.
+//
+// If this binary is compiled and used from another folder, this path will likely be invalid,
+// and in that case, using the `COMPONENT_PATH` environment variable is preferred.
+const DEFAULT_COMPONENT_PATH: &str = "../guest/hello.component.wasm";
 
 #[async_std::main]
 async fn main() -> Result<()> {
@@ -28,7 +42,10 @@ async fn main() -> Result<()> {
     let engine = Engine::new(&config)?;
     let mut linker = Linker::new(&engine);
 
-    let component = Component::from_file(&engine, "hello.component.wasm").unwrap();
+    let component_path = std::env::var("COMPONENT_WASM_PATH")
+        .map(PathBuf::from)
+        .unwrap_or_else(|_| PathBuf::from(env!("CARGO_MANIFEST_DIR")).join(DEFAULT_COMPONENT_PATH));
+    let component = Component::from_file(&engine, component_path).unwrap();
 
     struct CommandExtendedCtx {
         table: ResourceTable,
@@ -63,7 +80,7 @@ async fn main() -> Result<()> {
         },
     );
 
-    let hello = Hello::instantiate_async(&mut store, &component, &linker).await?;
+    let hello = bindings::Component::instantiate_async(&mut store, &component, &linker).await?;
     let res = hello.call_hello(&mut store, "ComponentizeJS").await?;
     println!("{}", res);
     Ok(())
diff --git a/examples/hello-world/test.sh b/examples/hello-world/test.sh
new file mode 100755
index 00000000..f87cd828
--- /dev/null
+++ b/examples/hello-world/test.sh
@@ -0,0 +1,29 @@
+#!/bin/bash
+
+# NOTE: COMPONENT_WASM_PATH will be picked up by the test binary as well
+export COMPONENT_WASM_PATH=$(realpath guest)/hello.component.wasm
+export TEST_BINARY_PATH=$(realpath host)/target/release/wasmtime-test
+
+# Build the JS component if not present
+echo -e "[info] expecting component WASM at [$COMPONENT_WASM_PATH]...";
+if [ ! -f "$COMPONENT_WASM_PATH" ]; then
+    cd guest && npm install && npm build
+fi
+
+# Build the Rust embedding test binary if not present
+echo -e "[info] expecting test binary at [$COMPONENT_WASM_PATH]...";
+if [ ! -f "$TEST_BINARY_PATH" ]; then
+    cd host && cargo build --release
+fi
+
+# Run the test binary, capturing the output
+CMD_OUTPUT=$($TEST_BINARY_PATH)
+
+# Ensure hte output contained what we expected
+if ! echo $CMD_OUTPUT | grep -q 'Hello ComponentizeJS'; then
+    echo "[error] test binary output (below) does not contain 'Hello ComponentizeJS':";
+    echo "$CMD_OUTPUT";
+    exit 1;
+fi
+
+echo "[success] test embedding binary produced expected output";