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I think folks do it both ways. I think it's less problematic too, to reinstall. But it gets old if you flash a lot.

There is also SDConfig.txt (Google it). It's basically a script that installs all your CABs from SD Card. Saves a little time. Not all cabs work. CABs that prompt during install will get stuck. Most ROMs support it. It can also do registry customizations and shortcuts.