If the "Requires Windows Installer engine and/or .NET Framework to be installed first " option is checked in the Application to Run Tab the install gives and errror. This happens only on the Win 7 machines.
I have not included any installer as part of the install. But when I check the debuglog while running the install I see that the install is tryign to run the windows installer 3.1. Is this a bug in the Installshield because as per the documentation --- Selecting this check box does not add the Windows Installer engine or the .NET Framework to your installation. It only specifies that if they are included in the installation, they should be installed before this InstallShield prerequisite is installed.
There are two things you can verify in the project. What is the Schema version are you using. You can find that in General Information -> Summary Information Scheme --> Schema. If it is 405 means the client machine should have windows installer 4.5. If you dont want 4.5 as a minimum requirement you can change that to 301.
Regarding the Dot net. Goto tools-->options-->.Net Default scan at build component setting to None. if you not have any dot net modules.
