You are choosing the Wrong type of repair. I mean a repair install not the repair console.
Act like you are going to install, but when you get to where it shows you a windows install already on c, choose repair. There should be no pass and no questions asked.
Here is where you DO NOT Choose repair, this was likely where you went wrong. Choose "To setup Windows XP now press enter" >>>
After the above screen you will have to agree to the EULA, press F8 to agree
It should look like this when you get to the proper place, here where you see your already installed windows and ONLY here is where you choose repair (R) >>>
You Can also just put in the XP disk while in windows and double click that CD drive if it does not auto start. Then choose Install Windows XP and choose Upgrade in the next window, which will do the same repair install.
But I do suggest the Previous method over the latter
Also remember to install the Windows updates first then install your Other system drivers. You will have to probably install a few like networking and such, but leave the rest like sounds and video all that out till after you install all the MS updates