Yes and no.
I did a bit of IT consulting a while back for a small company owned by a friend of mine that upgraded one of their (dead) machines to Win7 from XP. One of their pieces of software (that isn't supported by the vendor anymore, natch) had some copy protection on it that ABSOLUTELY REFUSED to run on Win7. As in "every single post I could find about it on Google said 'don't bother'" and no amount of backwards-compatibility junk would get Win7 to make it work, period (though admittedly this was Win7 Home Prem, so no built-in VM stuff).
The solution: VirtualBox, running a spare XP license, and just this one application. With the VBox tools installed, I set it to resize the desktop automatically when the window's resized, put the taskbar on autohide, and it works great (nice and snappy for an office-type app). When you click the close box on the window, VBox suspends the VM. When you open it back up again, it un-suspends. Plus you get snapshotting and portability of the environment.
They were not sophisticated enough to pull this off, but their local IT guy (me) was, and this is a little 5-person extermination company...