I won't pretend to know the results of all the possible configuration options. However, I think that using links in the file system is a great way to expand space on an existing C: drive.
I have one workstation that I do 90% of my work on. This computer has a lot of apps and a ton of data (no lectures about the home server please). My 250GB drive is almost out of space and I'd like to increase performance of my VMs.
The MS courses use C:\Program Files\Microsoft Learning for the VMs. I don't have an option to move this. However, I can configure that path as a symbolic link to another location instead. So, my C:\Program Files\Microsoft Learning is now a link to V:\Microsoft Learning. This allows me to put all my VMs on a separate drive. If I get inspired later on, I may split the differencing drives from the base drives for even better disk performance.
The MKLink command creates the links.