That Share- > Burn command will not give you a disk for use with a Windows machine. It's designed to make a mini-iPhoto Library on the disk, which Windows users will find very diffcult to navigate. SO the way you were doing it - (Exporting to a Folder etc) is the right way to do it.
As for why the Share -> Burn command doesn't work... What version of iPhoto do you have?
Currently Being ModeratedDec 3, 2012 8:37 AM (in response to Terence Devlin)
I actually want to create two disks: One readable by Windows (for maximum compatibility), one for iPhoto (for convenience). IPhoto is where my photos reside.
I'm using iPhoto '11, 9.2.1, on an iMac running 10.7.4.
Repair permissions with Disk Utility. If that doesn't help:
Try trash the com.apple.iPhoto.plist file from the HD/Users/ Your Name / library / preferences folder.
(On 10.7+: Hold the option (or alt) key while clicking on the Go menu in Finder to access the User Library)
(Remember you'll need to reset your User options afterwards. These include minor settings like the window colour and so on. Note: If you've moved your library you'll need to point iPhoto at it again.)
What's the plist file?
For new users: Every application on your Mac has an accompanying plist file. It records certain User choices. For instance, in your favourite Word Processor it remembers your choice of Default Font, on your Web Browser is remembers things like your choice of Home Page. It even recalls what windows you had open last if your app allows you to pick up from where you left off last. The iPhoto plist file remembers things like the location of the Library, your choice of background colour, whether you are running a Referenced or Managed Library, what preferences you have for autosplitting events and so on. Trashing the plist file forces the app to generate a new one on the next launch, and this restores things to the Factory Defaults. Hence, if you've changed any of these things you'll need to reset them. If you haven't, then no bother. Trashing the plist file is Mac troubleshooting 101.