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[The Fifth Horseman]

I just drag the files from the download into dosbox.

As you can see yourself, the drag-and-drop method doesn't always work.
Please follow this tutorial to learn how to set up and use DOSBox correctly: http://www.abandonia.com/vbullet/showthread.php?t=14406

Originally Posted by BlackSun

when I go to install it says "Cannot install SimIsle to the same directory you are installing from."

First lesson: the drives in your PC and in DOSBox have nothing to do with each other.
For DOSBox to access your drives, you need to mount them first - and the way you do it doesn't have to have much with the actual drive letters on your system (you can - and should - mount a directory as your DOSBox C drive).

I only have 1 drive, so I partitioned it and tried to install from one to the other - Failed
Loaded the files onto a flash drive and installed from there - Failed
Loaded onto a CD and installed from there - Failed
get the same message everytime

Dragging the executable onto DOSBox shortcut makes DOSBox mount that executable's directory as the C drive. Where you dragged it from is irrelevant.