Thanks for the information Jolly Giant.
Here are the results of your instruction.
I ensured that the "Copy files to iTunes Media folder when adding to library" is check-marked. My new location for the iTunes Media folder is a separate folder named "iTunes" within the Users section of the Mac Snow Leopard hard disc.
After clicking "OK" in the advanced tab to accept the changed location of the iTunes Media folder, I then consolidated the files by check-marking the "Consolidate files" option within the Organize Library window of iTunes for Mac, version 10.2.1.
With the basic process complete, I deleted the iTunes folder within the Music folder, re-started the computer, opened iTunes and discovered that the iTunes folder continues to appear within the Music folder. The iTunes software itself seems to have a memory of the default Music folder, even though the iTunes Media folder has been formally changed to a new folder location.
It is clear that iTunes has provided a fairly straight-forward option or method to change the location of the iTunes Media folder, so I must be doing something wrong, but as I noted, the process is quite simple so I can't figure out why iTunes isn't accepting the new folder location of the iTunes Media folder.