I tried to run a cameyo-packaged file of "Mouse without borders" (popular mouse sharing app by Microsoft Garage) but I got an error saying '"Mouse without Borders is not installed yet, please run the Setup.exe first". I captured the installation on a separate clean machine which had the exactly same windows version of the computer I am trying it on. Can anyone advise?
This is a guess, but I would have to assume the application is checking to see if it was installed properly. Stuff like making sure files and registry keys are in the right place and the correct values. Try setting the Isolation Mode to Full Access. Do the same in the Files & Registry tab.
You are saying that you are using the same Windows version on both machines, but are you sure you are using the same SP as well? It could be the case that one machine has SP1 and the other other SP2, for instance.