Moving the DLL is unlikely to fix the system, although it may fix that one error (only to present another error). Now include files and build directories have explicit settings within the compiler. Path names to the compiler objects should be set-up when the program is installed. This apparently has not happened. What would prevent the path names getting set correctly?
Possibilities include:
1) Logging on as a different user in Windows NT or later. The environment variables could have been set for a single user rather than globally so that they are effectively not set for the login you are using.
2) Inadequate rights to change the environment variables. You would probably need to be logged in as an administrator for that machine in order to get the install program to run fully.
3) Something else, like an anti-virus or anti-spyware program, prevented the environment variables from being updated.
4) Something else overwrote the environment variables subsequently and so they are now corrupted.
In any case manually check the environment variables against the batch file that sets the environment variables (something like VCVARS.BAT). Until these environment variables are set your system will not function correctly. Re-running the batch file may solve the problem. Run it then re-check the environment variables.
Unless the setup was corrupted later, it is likely that re-running the batch file will not fix the problem. Whatever caused it to not run before may still be blocking it. Make sure you turn off any memory resident virus and spyware checking stuff because these may "protect you" from environment variable changes.
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