Polymer-clay nanocomposites, a novel organic-inorganic hybrid, attract much attention from both scientific fields and engineering fields due to their balanced improvements in mechanical properties as well as diffusion behaviors, including flame-retarding and barrier properties, with small amounts of clay. Preparation of polymer-clay nanocomposites, summarized as a process for uniform dispersion of hydrophilic layered clays in hydrophobic polymer matrixes, includes several technologies and scientific phenomena, such as surface-modifications of clay layers, physical properties of clays in liquids and dried states, polymer synthesis, polymer rheology, behaviors of polymer solutions/or monomers in the confined geometry, mechanical properties of polymers and clays. To comprehend complicated physical/chemical phenomena involved in the fabrication of nanocomposites, we reviewed physical properties of clays, structures of clays in nanocomposites, characterization of nanocomposites, the relation between morphology and physical property of nanocomposites, surveyed recent research trends, and then suggested a few strategies or methods for fabrication of nanocomposites reflecting future research directions.