Embed video vs external

I am developing an application that will be on a CD. Does it matter if I just embed the video ( by this I mean like imnport the entire video, put on the timeline )

I have a button. And I want to on(Release),play the video. But initiallu I dont want users to be able to see the video. So I tried to make the video as a mclip and drag an intance on the stage then use like

mclip._visible=false//initially

on(Release){ //click of a button
mclip._visible=true;
gotoAndPlay();
}

Am I on the right track?? But yes my question is will it matter( my application will be on a CD) if I embed the video or stream it externally since I am finding it very hard to load the .flv file externally using Flash PRO. You know i can use MediaPlayBack Component to play the video but I want the video to be hiddend initially and only start playing on a the release of a mouse. I tried to create a mclip and insert the “MediaPlayBack Component” init and drag and instance of it on the stage. I manage to hide it initially and show the “box” on the release of the button but it doesnt play!!!

is there any tutorial. any suggestion is most welcome…
thanks for your help…