@ big_smile Hi, Do you have the Mac OS X older version installer .app file? If not so, please follow the below instructions in order to change the .dmg file into the installer.app file:
1. The issue can be resolved by creating the app file inside a macOS virtual machine created from recovery:
2. Open Installation Assistant and create a new macOS virtual machine from recovery.
3. Transfer the installmacosx.dmg to the virtual machine.
4. Open installmacosx.dmg and run the .pkg file inside of it.
5.Once the installation finishes, the app file will be generated in the virtual machine's Applications folder.
Put the file to the Documents folder in your Mac and run Parallels Desktop Installation Assistant. The installation .app will be recognized automatically and you will be able to proceed with the creation of a virtual machine.