Try the Windows 7 USB/DVD Download Tool:
http://www.microsoftstore.com/store/msusa/html/pbPage.Help_Win7_usbdvd_dwnTool
Create a Bootable USB Memory Stick:
http://arstechnica.com/business/2009/12/the-usb-flash-drive/
Install Windows 7 From USB Drive/Pen Drive:
1) http://www.maximumpc.com/article/howtos/how_to_install_windows_7_beta_a_usb_key:
2) http://www.windowsvalley.com/blog/install-windows-vista-and-windows-7-using-bootable-usb-storage-device/
3) http://www.intowindows.com/how-to-install-windows-7vista-from-usb-drive-detailed-100-working-guide/
4) http://technet.microsoft.com/en-us/magazine/dd535816.aspx
How to Create and Make Bootable Windows 7 ISO from EXE Plus Setup1.Box and Setup2.Box Files:
http://www.mydigitallife.info/2009/10/23/how-to-create-and-make-bootable-windows-7-iso-from-exe-plus-setup1-box-and-setup2-box-files/
Also: A fast way to get your Windows 7 into a bootable DVD:
(This guide is for people using the Student upgrade version, consisting of
Setup1.box Setup2.box, and Win7-P-Retail-en-us-x64)
http://www.tomshardware.com/forum/1392-63-windows-upgrade-bootable-guide-having-issues
How to Install Windows 7 From USB Drive without Windows 7 ISO DVD:
http://www.blogsdna.com/2016/how-to-install-windows-7-from-usb-drive-without-windows-7-iso-dvd.htm
How To Install Windows 7 from a USB Flash Drive using XP or Vista:
http://www.legitreviews.com/article/1031/2/
Use a USB Key to Install Windows 7 - Even on a Netbook:
http://technet.microsoft.com/en-us/magazine/dd535816.aspx
Cannot install Windows 7 from USB error "setup was unable to create a new system partition":
http://social.answers.microsoft.com/Forums/en/w7install/thread/4b3c0430-9e41-47f6-b1cd-aed55fea7dad