Yura of the Hair is either a Hair Demon or a Comb Demon, I'm not real clear on exactly which. Maybe she's a Hair Comb Demon. Whatever. Regardless, she manifests herself as a hot young woman in a skimpy outfit and looks almost exactly like Nabiki from Ranma. She's the very first bad guy of "note" to appear, the previous villains being a crow (o_O) and Mistress Centipede. Over the course of her fight with Inuyasha she appears to be invulnerable and feels no pain, even surviving her heart being torn out.
Yura originally show up wanting the Shikon Jewel shards that Inuyasha and Kagome possess, but then also decides she has to have Inuyasha's hair as well. Her desire isn't limited to just Inuyasha's head, it's pretty much everyone's head that she wants. In fact her lair is a giant ball of hair and skulls that she's collected.
Yura has a Wakizashi named 'Crimson Mist' that she uses, but her primary offense and defense comes from the hair that she can control. She has two different types: The first looks like regular hair and is visible. This is the hair she uses to attack and use to make shields. The other type is invisible to most people and is used to make traps and control people. In fact, she uses this type of hair to control the people of Kaede's village on multiple occasions.
Yura is finally defeated when Kagome figures out Yura's secret. Kagome figured out that the hairs controlling Yura were coming out of one peculiar red skull. Kagome climbed the gigantic pile of hair and pulled out the red skull. She used a sacred arrow to break open the skull while Yura was busy fighting Inuyasha. The force of cracking open the red skull allowed the arrow to follow through and smash the comb inside and destroy Yura's soul, causing her body to turn to dust.
