Windows XP won't fully install

Hi, I have a Dell Inspiron Mini that runs on Windows XP and a couple of days ago it was being really slow and then just shut down altogether. It let me get on in safemode once but now it won't even do that. Whenever I try to log on it says that the operating system can't be found. I got a portable CD with USB hookup and have been trying to install the Windows Hardware that came with my computer and it seems like it's working, it like loads Windows on, then it says it's setting up Windows, and then it goes to a License Agreement page where I can hit F8 if I agree, Esc if I don't and the Down arrow to see the next page of the agreement but the only button it responds to is Esc. I thought maybe it would just need some time to process so I left it for 3 hours but there was still no change. I've been trying it all night but it stops there every single time. If you can help at all that would be so great!
 
Could be a possible memory and/or a hard disk issue and this could also be related to the performance issues that you had been experiencing?
 
I haven't had any problems with my keypad in the past, is there a way I can test that with it being in the condition that it's in?
And yes, when I ran diagnostics tests the one for the hard drive failed. I don't know a ton about computers but how would I fix a hard drive when I can't even get to the operating system?
btw, thanks for the replies!
 
Sounds like the keypad is ok and the hard drive is not; Unfortunately, there is no "fixing" the hard drive if it failed diagnostics. It must be replaced by a working hard drive. When your hard drive fails, it can cause all kinds of issues booting, freezing, bsod, etc.

I believe your pc takes a 2.5" sata drive, which are pretty affordable these days. You can get a 500gb for around $50.

You may also take your "failed" hard drive and attach it to another pc or install into an external enclosure to retrieve your saved data. Many times a failed hard drive can be used as an external drive but not for running the OS.
 
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