get MSDE 2000 with SP3
install a named instance NETSDK by putting the following in the setup.ini
setup.ini
------------------
[Options]
INSTANCENAME="NETSDK"
SECURITYMODE=SQL
SAPWD="<sa-password>"
then run setup from the same folder where that setup.ini is located
After setup, register the named instance eg. ARPC1\NETSDK on Enterprise Manager.
Install the Northwind from the configsamples.exe in
C:\Program Files\Microsoft Visual Studio .NET 2003\SDK\v1.1\Samples\Setup
Note that this setup program expects an MSDE instance named NETSDK