why can they install!

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Hi Sorry if I have the wrong forum. I tried to find something to do with
local rights on a windows XP machine. When someone downloads an exe file and
tries to install it under c:\program files, it won't work (normal). But all
they have to do it to change the install path to c:\install and then
microsoft will let them. They are not admins or power users just normal
domain users. Why can they install on the root and how can I change that?
When I installed Windows XP I made no special changes to the rights and
permissions that could affect this. Thanks for the help!
.

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