How do OS Linux installers work?

Question

linux

Good afternoon! I collect at the moment on a work task for thin clients "my Linux". At the moment, the build is done like this
1) Prepare the necessary changes to the OS target
2) Boot from any other OS, install the necessary utilities like xorriso to burn ISO
3) Run my build script that downloads the systemrescue-cd image based on arch, unpacks it with squashfs , I pack the archive with the target system there (just gzip the entire system), I collect the squashfs back, I write the iso.
4) This systemrescuecd is loaded from the flash drive on the arch, from it, again, using the installation script, I unpack the entire system, format the disks, assign a new hostname and other things.

The question actually is, how "bad" way is it. It is the question of packing the target system into an archive and unpacking it on a new hardware that is different from the one on which the system was originally installed and finished to fit your needs. Does this method have any pitfalls that should be taken into account? For example, binding some files or functions of the OS or kernel to hardware or something like that.
Does such an installation have the right to life at all?

How do other OS installers work? Ubuntu for example? Do they also load a non-target system first and put the target system out of it, or in some other way?

Answer 1

And what, there is no preseed in Arch? Well, Ansible is definitely there ...
Why are these packages of the entire system, like in some Windows?

Answer 2

ubuntu-live installer simply syncs its image deployed in memory to the future root partition.
then it runs scripts that modify the resulting root partition to match the current hardware reality: change fstab, set rough to boot record, create new identifiers, keys, and everything else necessary for the unique identity of each system.