When building a VPC and installing the Outlook client on Windows Server 2008 I have encountered the following error several times:
When asked for the installation location for the Outlook client you get an error messge "The path is not of a legal form".
This is due to a registry key that is left empty by the server installation.
To fix this do the following:
1. Open the registry editor and navigate to the following registry entry: [HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Windows\CurrentVersion\Installer\UserData\S-1-5-18\Products\059DD8CB00184F24E99A62CF4D6109FA\InstallProperties]
2. Locate the key Name: InstallLocation and set the Data value to “C:\Program Files\Microsoft Dynamics CRM” (or whatever the install path of the CRM Server is for your image).
3. Start the installation of the Outlook client (no reboot should be required).