I use Visual Studio .NET to develop a component named X_Component and I plan to develop several client applications that use X_Component. I need to deploy X_Component with each of these applications.
I want to create a distribution package to be included with each application. Which type of project should I create (CAB/merge module/setup/Web setup/...) and why that?
Even thought there is a higher initial learning curve, I'm a big fan of using WIX to generate installation packages. It's not difficult and it doesn't try to hide the true nature of Windows installation packages. Tools that do try to hide the true nature of Windows installation packages will eventually make you cry.
In WIX you have the option of creating a "merge module" installation package, or a WIX library. Unless you want to use the merge module with another installation package creation tool, I would recommend the latter. It's much simpler to incorporate a WIX library package into a larger installation.