It's just a virtual disk created in RAM that you can read&write to.
Been having a look on
www.download.com
Do a search for 'virtual drive' and you will get a number of reults including cd emulators. These will copy the cd to your hd and make it look like a cd drive. This would allow you to put the floppy back in the bay and install the software. Once done you can delete the virtual drive if you don't need it anymore.
Some peeps love 'em

and some hate 'em

. I've known them to work on some systems but not on others

.
Yer takes yer chance - but shouldn't have to pay yer money.
Good Luck