ifsmgr.vxd$(DLLEXT): ifsmgr.vxd/ifsmgr.vxd$(DLLEXT) $(RM) $@ && $(LN_S) ifsmgr.vxd/ifsmgr.vxd$(DLLEXT) $@
because, if $(DLLEXT) is empty, it will try to create a link with a name that's already there as a directory.
Would it be an idea to rename vxd directories like ifsmgr.vxd to ifsmgr? Or do you foresee conflicts? After all, .acm, .ocx and .drv exist besides .dll without the subdirectories bearing a corresponding suffix.
-Hans