Windows setup could not configure windows to run on this hardware message during repair install

Windows 7 Ultimate SP1 x64

I am trying to do a repair install of Windows 7 Ultimate which came pre-installed on the system, but every time I run windows setup, it gets 99% done, and is at the completing setup phase and suddenly pops up with a message saying windows can not be run on my current hardware. Setup then does a rollback of widows. This is absolutely ridiculous.... I am attempting to reinstall the SAME version of windows that was already on the system! Windows 7 Ultimate has been on the system since the day it rolled off the factory assembly line. I have triple checked to make sure the image I am using to do a repair install is x64. I have checked to make sure the image is not corrupted by doing a test install on a fresh drive in another PC. that time I got as far as asking for the license key before I stopped (because I didn't have a license for that PC).  I did find a support article on the dell support site surprisingly enough (why not the M$ support site too?) that said to press shift+F10 and start c:\windows\system32\oobe\msoobe.exe manually. which I tried, but when I started msoobe manually, I got as far as the screen that askes me about default IE security settings, then the screen went almost black. anyone just seeing the screen might think that the backlight had just turned off. you could dimly see the dialogs on the scree showing, but not well enough to see what you could select. the only thing that was clearly visible, and proved that the backlight for the display was indeed still active, was the mouse cursor was still clear as day. I tried restarting my pc, hoping I could pick up where I left off, but windows setup did a rollback instead. I don't know if a recent update is causing this, or if it is caused by the damage to windows I am trying to repair. I have never ever, in all  my years of using windows encountered this message.  the fact that it appears to not have an error code associated with it makes it all that much harder to diagnose. what can I do?