Tomb Raider 3 or, any older game on WinXP

Thought I'd try and install an older game on my XP machine. Can't find any support through Google as the helpful websites all offer patches that work after the installation. In my case, as soon as I insert the CD, I get the graphic screen that has Install as one of the options. As soon as I click install, I get a dialog box titled "16 bit Windows Subsystem ". It reads" C:\Windows\system32\autoexec.nt. The system file is not suitable for running MSDOS and Microsoft Windows applications. Choose "CLOSE" to terminate the application ". The only two choices I have are CLOSE and IGNORE.
Can anyone point me to a workaround? I tried accessing the content of the CD via windows explorer, but clicking on "setup.exe" yields the same response.
Thanks.

 

The link it to an XP article but for this issue, 2K should behave the same and the fix should work.

Error message when you install or start an MS-DOS or 16-bit Windows-based program

 

loading older games into Win XP

Thanks Newt,
I don't know what I'd do without you.
Vic