setup on 2003 strange

[greg]

Hi

I created web deploy project in VS.NET
and uploaded on 2003 win server
usual 5 files 3 ms same for everybody and 2 .msi and setup.ini - cretaed
fresh
I click on setup.exe
it asks for vertial directory with default name of project
I leave it and click next
but instead of like on w2k creating it in default web site
it produces an error saying virtual dir does not exists!!!!!
tried ot create it but does not help

Help me
Thanks
GSL