Server2Go is easily run Web server that supports Apache, PHP, MySQL, and Perl right from a USB flash drive. You can use Server2Go right out of the box without any installation. For example, imagine being able to carry a live Web site demo into a sales pitch meeting. Is there something like it for ASP.NET ?
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Try CassiniDev. I am using it happily for a long time without any issues.

Chandu
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Cassini is one.
This is the original:
http://blogs.msdn.com/b/dmitryr/archive/2008/10/03/cassini-for-framework-3-5.aspx
This one has been modified: http://ultidev.com/products/cassini/
For the MSSQL - you can use SQL Compact Edition.

Daniel A. White
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is not http://cassinidev.codeplex.com/ more current? – naveen Aug 02 '11 at 12:11
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ok. i was actually asking you a doubt :) – naveen Aug 02 '11 at 13:06