http://bugs.winehq.org/show_bug.cgi?id=26699
--- Comment #1 from Andrew Nguyen arethusa26@gmail.com 2011-04-09 04:43:52 CDT --- Your log contains:
winevdm: Cannot start DOS application D:\install.exe because the DOS memory range is unavailable. Try running this application with DOSBox.
Did you try using DOSBox and/or following the instructions in http://wiki.winehq.org/PreloaderPageZeroProblem ?