the cd you have, the 98 upgrade legally can't be used for the task you want to do
since win98 is abandoned long time ago you can use the license you wish to use, microsoft practically declared it as a abandonware in 2003
only retail licenses can be used for virtualization and if you don't have them installed on other real hardware
the virtual machine doesn't have access to your real hardware, just to the cpu(and if you have multiple cores, you can limit to a certain number of cores to be accessed by the virtual machine), the rest on the virtual machine will not be real hardware, only emulated hardware
you don't need drivers for win 98 because the os is encapsulated, contained inside a virtual environment using the desired to be emulated hardware, if you wish to emulate sound, network, usb, serial ports and what type of video card you want with the desired amount of vram, also the size of ram for the virtual machine
if you try to install drivers for your real sound card windows will tell you that the drivers doesn't work or the hardware can't be found and this is perfectly normal
none of the real hardware is seen on the virtual machine
we are talking about virtualbox, not sure if vmware can work with it, qemu was a good option but not sure what happened with it
about lotus, i know that the 95 version works in xp, a friend still uses it in his work, you could do some searches to find out what steps are required, afik, it is just install from the cd