This laptop has no internal floppy or cd drives. I connect external floppy and cd to the usb port but it doesn't read either. I change the boot menu to floppy and cd, all did not work. I connected the ethernet cable from my network to it and it reads alright. the screen comes up with the client mac address.
Now my question is; how can I connect a laptop with no operating system to my home network to be able to install the windows xp from the share drive?

Thanks for any help out there.

I think you should stick with trying to use a cd to install XP. Have you searched the internet for any windows 98/me/2000 drivers that will enable you to use your external drives? this sounds like your best bet, unless of course, you have the disks that came with your external storage devices.