Trying to set up Laravel 4 gives "failed to open stream: No such file or directory"
Okay,
I had the same problem and found a way to fix it.
Just read this: http://laravel.com/docs/installation and follow it.
Install composer first, add laravel to the root and install the composer.json with cmd. It worked for me.
You need to provide the following command from your terminal
it might get stuck due to permission issues, so try with
sudo composer install
I guess this should solve your problem.
in the command prompt try this
D:\xampp\htdocs\laravel>composer update