App-V 5 Folder Options Tab
In this dialog you can set options specific to App-V for a folder.
Virtualization level:
Merge with local directory
Enable this option so the virtual application can see this folder from both real and virtual systems.
Overwrite local directory
By enabling this option the virtual application will see this folder only from the virtual system.
Compute automatically
If you set this option the merge/overwrite will be automatically computed based on the folder path.