Are you using the recovery DVD that you burned with the Windows 7 backup program? Do you realize that you need to use it along with a "System Image" backup on an external hard drive? The DVD on it's own won't do anything.
And the other guys are right - you may be able to restore a copy of Windows to another computer (if the hardware is the same), but you'll run into problems because they'll have the same license key. You need to enter different license keys into each system.
Windows 7 comes with one license meaning it can be installed and used one one computer only. However, Windows is bringing back the Windows 7 Family Pack (which was also available when Windows 7 was first released). The Family Pack will go on sale on Oct. 3rd and will include Windows 7 Home Premium with three licenses for $149.99. http://news.cnet.com/8301-13860_3-20015293-56.html
Hope this helps,
Microsoft Windows Outreach
That it does. The Multi user upgrade pack requires you to own a previous qualifying OS.
If you have a full retail version of a previous qualifying OS that is not installed on another pc, then you could use the upgrade on a new build.