I actually had the exact same problem. It's basically something to do with the Installation EXE. It's called "Install Shield", and for one reason or another, a silly combination of problematic drivers or other installs causes it to never open at all.
To fix this, I ran a program called "Sandboxie". It prevents programs from causing conflicts with other programs when they're run, and helps minimize damage due to malware or spyware in installs (Sometimes bad EXE's come with crud like this, and Sandboxie helps stop those)
Anyway... Here!
Sandboxie - Download Sandboxie
Download, and install. Then Mount the ISO. Instead of using the autorun, explore/open the CD and go into the folder marked "product". In there is the proper installation EXE. Right-click on it and select "Run in Sandboxie". It'll work now. ^_^
BTW, if after the installation you run the game and only see a black box with a dude with yellow hair then an error message, it's because the game expects the CD to be in the Drive when you play the game. If you have mounted the ISO and it is STILL popping up with an error, it might be Daemon Tools. I've encountered quite a few people having problems with NitroPLUS games not liking Daemon Tools. I use Virtual Clone drive to fix that problem.
Have fun!