Windows 7 for refurbished PC, Mac OS X Lion 10.7.5, no boot device available

Hello
I am using the operating systems listed above. I've tried installing over and over again. But evey time I get the No boot device available error. I have made an .iso file from the windows install disc, using instructions on the parallels site.
I tried disc utility as a well but that doesn't work either.
Is the problem the kind of Windows installation I'm using? Are refurbished discs not the right ones for this?
I have read through the other posts on this error but none seemed applicable to me.

Any ideas?

 

Hi InkPot,

It looks like you have an OEM version of Windows which is tied to the specific hardware (your PC). Such versions of Windows will not work on any other PCs or virtual machines. Whatever version you choose to buy - XP, 7 or 8, make sure you get a System Builder edition.

Thanks,
Manoj.