I recently installed a new server with the SME Server 8 beta distribution. I spend some time figuring out how to install yii. I came up with the following solution.
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Create a new ibay, enable internet access to it and enable PHP for this ebay.
Take the applicationname as name for the ibay, so that is reachable as www.example.com/applicationname
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on the server a new directory is created: /home/e-smith/files/ibay/applicationname
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I installed yii directly under this directory, but it might be better to install it under the files subdirectory
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Your application needs to be installed under the html directory, so
create your application by: yiic webapp /home/e-smith/files/ibays/applicationname/html/
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Et Voila, your skeleton application is ready
Hope this is usefull,
Wim