Have you rebooted the box? This was in the log:

4Symantec Endpoint Protection has detected that there are pending system changes that require a reboot.  Please reboot the system and rerun the installation.
MSI (c) (C4:CC) [09:56:17:796]: Product: Symantec Endpoint Protection -- 4Symantec Endpoint Protection has detected that there are pending system changes that require a reboot.  Please reboot the system and rerun the installation.

if a reboot doesnt work, try this:

Delete the registry key: "PendingFileRenameOperations" . It can be found under "HKEY_LOCAL_MACHINE\SYSTEM\CurrentControlSet\Control\Session Manager".

And try to install again

Reboot will fix this issue.......... as per the logs........

Hi,

As per logs it seems that you are running setup from the 'I' drive.

Logs snippet as per below

I (c) (C4:CC) [09:55:49:218]: ******* RunEngine:
           ******* Product: I:\SEP\Sep.msi
           ******* Action:
           ******* CommandLine: **********

Is it local drive or trying to deploy through CD's or external drive?

Always copy setup on local drive prior to install.

As everyone suggested reboot pending is also seen in the logs.

Make sure you are running setup.exe with full admin privileges.

Hello,

After looking at the Logs, we found the following Error- 

Communicate LC: (NOT ((LOADEDDRIVERSFOUND=11) OR PENDINGMODULEREMOVAL)) OR MIGRATE OR NORTONFOUND OR NORTONAV OR NORTONAVPRO=0
Communicate LC: Symantec Endpoint Protection has detected that there are pending system changes that require a reboot.  Please reboot the system and rerun the installation.
Communicate LC:  calling communicate state with the following arguments: 
Communicate LC: Prodversion = 12.1.671.4971
Communicate LC: PathToSylink = I:\SEP\
Communicate LC: Oldversion = 
Communicate LC: ReasonStr = Symantec Endpoint Protection has detected that there are pending system changes that require a reboot.  Please reboot the system and rerun the installation.
Communicate LC: StatusCode = 302469124
Communicate LC: Communicator failed to communicate.
Action ended 9:56:05: CommunicateLaunchConditions. Return value 1.
MSI (c) (C4:CC) [09:56:05:531]: Doing action: preLaunchCond.87654321_4321_4321_4321_210987654321
Action 9:56:05: preLaunchCond.87654321_4321_4321_4321_210987654321. Examining launch conditions
Action start 9:56:05: preLaunchCond.87654321_4321_4321_4321_210987654321.
MSI (c) (C4:24) [09:56:05:546]: Invoking remote custom action. DLL: C:\DOCUME~1\Jason\LOCALS~1\Temp\MSI117.tmp, Entrypoint: preLaunchCond
IDCCA:  preLaunchCond - Launch condition `4Symantec Endpoint Protection has detected that there are pending system changes that require a reboot.  Please reboot the system and rerun the installation.` with condition `(NOT ((LOADEDDRIVERSFOUND=11) OR PENDINGMODULEREMOVAL)) OR MIGRATE OR NORTONFOUND OR NORTONAV OR NORTONAVPRO` failed

As Chetan requested, could you please let us know if the "I Drive" is a Local Drive / Mapped Drive / CD/DVD Drive?

Work on the Steps provided below:

Open registry and go to 
HKEY_LOCAL_MACHINE\SYSTEM\CurrentControlSet\Control\Session Manager\
hight light Session Manager on the right hand side delete the value 
PendingFileRenameOperations

Also delete the same value from
HKEY_LOCAL_MACHINE\SYSTEM\CurrentControlSet001\Control\Session Manager\PendingFileRenameOperations

then run the install...without rebooting the PC

Reference: 

Installer Information - "Symantec Endpoint Protection has detected that there are pending system changes that require a reboot." when trying to install SEP 11.0 on Windows 7

http://www.symantec.com/docs/TECH95608