It's important to think that any edition of Windows (at least those with Vista or newer, with the WIM method of deployment) has very specific partitions required to make it work. Even if you clone your entire C:\ drive, you'll be missing partitions such as the EFI and MSR partitions. Those kinds of partitions are critical to make Windows (any version) work. The files need to be laid out very specifically, so just copy-and-pasting them will not work, since the command just finds free space on that directory to put those copied files onto.
Also, like what Grobe said, Windows was never meant to be run off of USB. Even in modern editions, when you attempt to install to USB, it'll give you an error, telling you that
"Windows cannot be installed to this disk. Setup does not support configuration of or installation to disks connected through a USB or IEEE 1394 port."
if you want to do this, use an imaging program, and then burn the image with a dedicated program (like rufus, if you made a VHD). If the firmware type is different (BIOS to UEFI or UEFI to BIOS), then this will likely not work, since the partitions are likely laid out differently in that case.