About Default Virtual Machine Paths
When you add a virtual machine host to Virtual Machine Manager, you can configure one or more default paths on which to store virtual machines that are deployed on the host. These are known as virtual machine default paths.
When you deploy or migrate a virtual machine by using the New Virtual Machine Wizard, Deploy Virtual Machine Wizard, or Migrate Virtual Machine Wizard, you can select either a default path for the virtual machine or specify a different path.
Both virtual machine self-service and drag-and-drop employ automatic placement, which attempts to place the virtual machine on the most suitable volume on the selected host based on the volume's available space.