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How to dual-boot Windows physically and virtually

While this is no longer possible with Windows Activation Technologies in Win 7, Windows XP allows using Hardware Profiles for a shared installation that can be run either physically or virtually (e.g. using the KVM virtualization stack built into recent Linux kernels, which is a lot more convenient than VMWare Player with its kernel module dependencies, at the price of 3D graphics acceleration).

The recommended sequence for such a setup:

How to boot a real harddisk in VMWare

The knack is to install the VMWare SCSI driver (included with VMWare Tools) before booting the SATA or PATA harddisk.