Boot Camp not installing Windows 7 - "No bootable device, insert boot disk and press any key."

I need some help with something. A while back, I put a brand new hard drive in my MacBook, a 500 GB model to replace the 120 GB one. I cloned everything successfully to the new drive via Carbon Copy Cloner, but now I want to make a Boot Camp partition on the drive. The SuperDrive in it is defective, so I use an external FireWire drive. So far the Boot Camp Assistant in 10.7 Lion works fine in creating the partition, but when it gets to the part where it tries to boot into the Windows installation disk (32-bit Windows 7 Home Premium, or could the 64-bit work fine as well?), it shows a black scree nwith "No bootable device, insert boot disk and press any key." I try pressing keys, but nothing happens.
I also tried using rEFIt, but that didn't work out either.
Here are the specifications of my machine...
MacBook (Early 2009 model)
2.0 GHz Intel Core 2 Duo processor
4 GB of RAM
500 GB SATA hard drive
Dual-layer SuperDrive (defective, may replace it once I have the cash)
NVIDIA GeForce 9400M graphics chip
Mac OS X 10.7.2 Lion
Can anyone help me out with this? Is there some sort of workaround?

Wiley207 wrote:
Believe it or not, it was the FireWire drive that was the problem! I managed to successfully install Windows 7 using an external USB DVD drive!
Well I am truly staggered, I have tried this on two different MacBook Pros, with three different external USB optical drives. Don't know if you googled as I suggested but you would find hundreds of others who have found same thing. The exception is MacBook Air which works with the Apple writer, but I don't know much about this.
Were you doing any of the special workarounds with refedit etc?
What model USB DVD drive?

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