Setting up a Windows 95 VM in 86box to play old games on, Windows 95 setup fails. Specs attached.

Boot disk is Microsoft Windows 95 OSR2 - Boot Disk (Dell OEM) (3.5-1.44mb) and is mounted to Floppy Drive 1 (A:)Windows 95 ISO is Microsoft Windows 95B (4.00.1111) (OSR2) [English] and is mounted to CD-ROM drive (D:)

I was able to run FDISK to set up a DOS partition and format the hard drive (C:) without issue. I then ran SETUP. SCANDISK confirmed that there were no issues with the drive. Then I got the line "Copying files needed for Windows setup" and... the installation process hung up there. For several hours. Obviously, something had gone wrong, and it was never going to end.

While troubleshooting online, I found a post that suggested copying the contents of the Windows 95 CD to the hard drive and running SETUP.EXE from there. I was able to do this (verifying that the drive is properly formatted) but I still got stuck on the "Copying files needed for Windows setup" step. Any recommendations for what I should try next?