How exactly is it failing to activate? When a user runs the app does it ask for Admin credentials?

John

Johnjces : OK, this app. on running requires that it can write a configuration file to the user's appdata folder which is restricted by Vista unless the app. is 'run as administrator'. In actual fact the file in question is none other than pdoxusrs.net (the BDE network config file). The program implements this location because ordinarily this file would be in C: root which is Vista restricted (OK in that case maybe I could just let it write to C: root in any case but that's another story ;-). There is also access required to the HKLM registry branch, another Vista restriction.
  Simply starting the app. in an admin account does not allow any of these requirements so an exception is thrown. If 'Run As Administrator' is used, then all is well and it runs fine. Using RAA is a bit like a sledgehammer to crack a nut in this case but for now it has to suffice.
  My contention was that embedding the manifest as above would 'emulate' the RunAsAdministrator option as I concluded (perhaps incorrectly ?) from Aleks Oven's article.
  Embedding the manifest and not using RAA throws the exceptions, then using RAA results in the app. again running fine - it's as though the embedded manifest has no effect.
  I am embedding the manifest in the app's. main form immediately after the {$R *.DFM} directive which is logical to me and the resource is definitely being linked ... but does not work as expected.
  Any ideas as to why this is will be genuinely appreciated ... thanks
RR

I should probably add, to make it absolutely clear, that when the app. is not RAA the app. throws the exception because it is not being allowed to write. There is not a UAC window in this case. When RAA is used then I get one of the 'aggresive' style UAC prompts 'an unidentified program requires access ...' and the app. has to be allowed. The app. is currently not digitally code signed, hence the aggressive prompt, but it will be soon which will improve the UAC prompting to be a little more pleasant. I don't think that not being signed though affects the core issue of 'Run As Administrator' in this case ... unless of course anyone know better ...
RR

Johnjces : I definitely do not feel abandoned, quite the opposite in fact, your detailed response is certain testimony to this ! Understandably I have been working on this while you were away and I came up with an exact same set of solutions. I researched the privilege levels and indeed as you typed my app. was already deployed (BTW I use InstallAware) with the combined XP/Elevation manifest embedded because I needed both. To be honest, but I can assure you in no way disrespectfully, your reply at this point has not imparted anything new to me. However,  a bare few days ago it would have been virtually all I needed to know, so for that reason it is accepted as the solution.
  I say virtually, for this reason : This original app. committed (in Vista terms at least) a 'sin' in that it tried to write to HKLM during startup. As we know this is a no no, so the program throws an exception. That situation is for 'normal' ops. ie. admin account but NO RAA. RAA allows the HKLM write to happen. My contention is that a manifest containing "requireAdministrator" would be the same as RAA selected by the user but this does not appear to be the case and I have not unearthed why this is. Bottom line here is that I removed the HKLM dependency from the program (it was something of a legacy item which really didn't ought to be there anyhow) and of course the problem ceased. Now, I know the manifest works because the XP portion is visibly functional but I'm not over confident that the UAC/elevation is operational as well ... but there is not really a problem now so I'm going to leave the issue. It's just that academically a "requireAdministrator" manifest, IMHO should have taken care of the HKLM issue mentioned above, just like RAA does, but it never did ...
  Thanks for all the time and effort, genuinely appreciated !

No problem! Sorry it was late!

John