Thanks to those who replied. I'll try to experiment next week.
This sort of behavior has been a "feature" of windows for quite some
time. (Windows 3.1x as I remember, if not even before.) In the 90's DOD
was sometimes using the "walled garden" security concept. The majority
of P/Cs within LANs and even WLANS were not "locked down", and virtually
all the drives and directories were accessible from any other P/C on the
same network.
Originally, there was quite a variety of different application programs
from P/C to P/C, as budgets and use differed from user to user and group
to group. If you didn't have, say Photoshop on your P/C, you could
easily find and run the copy installed on another P/C. The copy ran on
your machine, since it had almost full access to the drives/directories
on both P/Cs.
Some of the early protection schemes were not really too
useful, as windows can be told to tie a local drive and sub-directory
designator to a LAN accessible drive/directory.
Later, the major software companies saw this as a major loss of
potential revenue, and added or changed code to prevent or restrict such
use. During an application install, it's not difficult to tie the
installed copy to an individual P/C, to the point that even a minor
change to the P/C forces a reinstall.
The way it originally worked was that the programs executable was
automatically loaded into the local machine via the LAN, and had access
to the files in "standard" locations on the P/C that was "remote".
