“The system administrator has set policies to prevent this installation” error when installing VMware Tools on a Windows Guest

  1. Click Start > Run.
  2. Enter gpedit.msc.
  3. Click Local Computer Policy > Computer Configuration > Administrative Templates > Windows Components > Windows Installer.
  4. Click Disable/Turn off Windows Installer.
  5. Click Display Properties > Enabled.
  6. Set the Disable/Turn off Windows Installer drop down to Never.
  7. Drill down to Computer configuration > Windows Settings > Security Settings > Software Restriction Policies.
  8. Right-click Software Restriction Policies and click Create New Policies.
  9. Right-click Enforcement, and click Properties.
  10. Click All users except local administrators.
  11. Click OK . Close Group Policy
  12. Open a Command Prompt then run the following command
    • gpupdate /force
  13. When local group policy is finished updating, re-run the Tools setup.

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