Setup could not read the CD

Like an earlier correspondent in the forums (in the 2006 archives - question was not resolved), I have installed Parallels and am trying to install Windows. On reaching the Windows XP Professional Setup screen, I get a message from windows setup saying "Setup could not read the CD you inserted, or the CD is not a valid Windows CD". I am using a factory MS CD that appears to be in mint condition. Any advice would be greatly appreciated.

The Mac is running Mac OSX Version 10.5 and has a 2GHz Intel Core 2 Duo processor with 1 GB RAM. In the Parallels setup, I allocated 512 MB RAM to run the Windows environment.

 

Try to create ISO image
1. Insert CD/DVD source

2. Fire up a Terminal, you can then determine the device that is you CD/DVD drive using the following command:

$ drutil status
Vendor Product Rev
MATSHITA DVD-R UJ-835E GAND

Type: DVD-ROM Name: /dev/disk1
Cur Write: 8x DVD Sessions: 1
Max Write: 8x DVD Tracks: 1
Overwritable: 00:00:00 blocks: 0 / 0.00MB / 0.00MiB
Space Free: 00:00:00 blocks: 0 / 0.00MB / 0.00MiB
Space Used: 364:08:27 blocks: 1638627 / 3.36GB / 3.13GiB
Writability:
Book Type: DVD-ROM

3. Umount the disk with the following command:

$ diskutil unmountDisk /dev/disk1
Disk /dev/disk1 unmounted

4. Create the ISO file with the dd utility (may take some time):

$ dd if=/dev/disk1 of=file.iso bs=2048

5. Test the ISO image by mounting the new file (or open with Finder):

$ hdid file.iso

 

Setup could not read the CD - created an image and not working

I have the same issue as above. I followed the provided fix for it but now I can't boot off of the iso image either. The disc I have is an original MS Win XP Pro disc. Your help would be appreciated as I'm stuck with unusable copy of Parallels and no Win. Thanks

 

fix is in an old version of Win

I found the fix for it here:
http://www.pcmech.com/forum/showthread.php?t=139245

I inserted an older version of Win (98) and Win XP Pro started booting after that. No issue so far.