Change the Boot Device Order in the target Virtual Machine's BIOS.

Sometimes the CD/DVD and or ISO Image is not picked up because the default Boot Device in VMware Fusion is not the CD/DVD and by current Industry Standards it should be however VMware choose not to follow Industry Standards for some reason and you will have to modify BIOS Settings if you cannot select the Boot Menu quick enough by selecting the Esc key after clicking into the Virtual Machine windows. Again, another flaw in VMware's methodologies. To work-a-round either of these you will need to add one or both of the following parameters to the target Virtual Machine's .vmx configuration file.

bios.bootDelay = "3000"

And/Or

bios.forceSetupOnce = "TRUE"

By default normal file based Fusion Virtual Machines are created in the "~/Documents/Virtual Machines" folder.

~ Is your Home Folder

They are placed in a Folder (Bundle Package) with an extension of ".vmwarevm" which by default the extension is not visible in Finder.

Example: "~/Documents/Virtual Machines/Windows XP.vmwarevm" would in Finder just look like an icon named "Windows XP"

You can view the Package Contents of the "Windows XP.vmwarevm" folder by ctrl-click (or right-click) the "Windows XP" icon and select Show Package Contents.

You would ctrl+click (or right-click) on the "Windows XP.vmx" file and select Open With > Other... then in Choose Application choose TextEdit.

Note: This should be done with the VM shutdown and closed and not suspended.

Note: If you use TextEdit and copy & paste the above parameters make sure you copy one line at a time and only up to the last " (quote) otherwise you can end up with extraneous unseen characters or use an Editor like TextWrangler.

In a Terminal type "/usr/bin/openssl sha1 " (without the quotes and with a trailing space).
Then Drag & Drop the Target File into the Terminal window to Set the Targets Path Name.
Next press Enter and wait for the SHA1 Output.