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Quoted
This is how you install Dungeon Keeper 2 under Windows XP SP2:
1. Full install Dungeon Keeper 2.
2. Apply patch 1.7. (if you during installation get an error message saying "Can't run 16-bit Windows Program. Cannot find file..." then go to Start - Run... and type regedit. Make sure the following key is disabled (set to 0): HKEY_LOCAL_MACHINE\System\CurrentControlSet\Control\FileSystem\NtfsDisable8dot3NameCreation=0)
3. Install Windows Application Compatibility Toolkit 3.0 (use Google to find it - it's free from Microsoft).
4. Run the program and create a new database.
5. Click Fix.
6. Name of the program to be fixed: Dungeon Keeper 2 - Name of the vendor for this program: Bullfrog Productions.
7. Program file location: Browse for the location of Dkii.exe in gamedir.
8. Operating System Modes: None - Click Next.
9. Compatibility Fixes: select EmulateSlowCPU - Click Next.
10. Click Finish.
11. Choose File and Install and then exit the program.
12. Create a shortcut for Dkii.exe, choose properties and add -32biteverything in the Target commandline (it should look something like this: "C:\Games\Dungeon Keeper 2\Dkii.exe" -32biteverything).
13. Run the shortcut to start the game.