Cannot install VMWare version 3 although VMWare 2 worked fine

I was using VMWare version 2 for mac and it worked just fine but I thought that VMWare version 3 would be faster and will have better memory manager. So, I uninstalled the previous version and purchased the upgraded version. But when I tried to install the upgrade it just fails saying that there were errors with the installation. I tried to look into the log file and messages in there are very confusing. I need to install this thing to continue my work which I do using Windows XP.
