You cannot convert a basic disk to a dynamic disk when the computer name contains double-byte characters
On a computer that is running Windows 7 or Windows Vista, you cannot convert a basic disk into a dynamic disk. When you try to convert a basic disk, you receive an error message that resembles the following:
Package name is invalid
For more information on this issue, including potential causes, workarounds, and resolutions, see: Microsoft KB Article KB973561.