Oh for fuck's sake, the kid is at least trying.
Yeah, you need to put pretty much every keyword in its own group to be laser targeted, and yes its a fuck of a lot of work doing it by hand so get some tools. It matters because Gooble prizes relevance, and you have more control over relevance with smaller, more focused adgroups.
The secret sauce is the right combo of keywords/ads/landing pages. That's successful PPC in a tight-assed little nutshell for ya.
Gooble gives you a free tool called AdWords Editor, download it and master it.
Then come back with less basic questions and you won't get buttfucked so hard.
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