You can customize the icons for individual folders.
To assign a custom icon to a particular folder, follow these steps:
Right-click on any folder and choose the "Properties" option.
In the "Customize" tab, click the "Change Icon" button.
Navigate to and select the icon you wish to set for this folder and click OK.
This will create a desktop.ini file in the root of that folder that specifies the path to your custom icon. You can also create this file manually, for example if you wish to use a relative path to an icon. Just create an empty text file inside the folder you want to customize, rename the file to "desktop.ini", and include the following information:
Or, you can display the name of the folder instead of its path.
You can change Windows Explorer's default setting to display the name of the individual folder rather than the full path to the folder in the title bar. In your example, this would change what you see on the taskbar (as well as in the title bar) for each Explorer window to "A", "B", C", etc. Note that this will affect all folders: you cannot apply this setting to individual folders.
To make this change, follow these steps:
Open any folder in Windows Explorer.
On the Tools menu, click "Folder Options".
Switch to the "View" tab at the top of the dialog that appears.
Clear the checkmark next to "Display the full path in the title bar".
Click OK to close the dialog box. The changes should take effect immediately without requiring a restart.