the install path you are choosing has nothing to do with grafana. but you are right it should be seamless. But you also have to do due diligence.
with any software if you have an existing version with a folder name of that software
and you try to reinstall in same folder, it wont work.
so are you still using the previous version and you want to continue using it?
if so extract your grafana into another folder other than folder grafana.
It also looks like you have the grafana package installed and are now trying to install the grafana-enterprise package. You cannot have both installed at the same time.