There's a few possible issues. First, I'm going to assume we're talking about XP pro. You need to ensure forceguest is disabled. You can't authenticate to an XP pro machine without disabling this. When it is enabled, everyone authenticates as guest (which would cause the pw prompt to be displayed over and over). See this technote:
http://seer.support.veritas.com/docs/241419.htm
The SP2 firewall can prevent remote installations. Try disabling it during the install or (much safer) perform a silent install.
SP2 info:
http://seer.support.veritas.com/docs/270139.htm
Local installation:
http://seer.support.veritas.com/docs/270066.htm