GUI-based applications like PKZIP and winzip (and the GUI version of 7z/7zip) let us browse around our directories and create a compressed file that contains lots of different directories and files, complete with [partial or full] paths.
What is the equivalent on Ubuntu Linux (specifically, 64-bit Ubuntu 12.04)?
The default archive manager for Gnome is called file-roller, that should be installed in your distribution. Otherwise you can install it typing in a terminal:
For 7z archives you'll need p7zip package installed too:
With those two tools you can also encrypt, put a password to your compressed files.