The retail vs OEM key thing is because of the support commitments for each.
OEM's are responsible (per their EULA) for both certain support - and for enabling recovery/reinstallation.
Each OEM interprets this differently (within the terms of their EULA), so each one has a different way of fulfilling their requirements.
Some give the recovery media away for free, others charge for it.
Most will let you make recovery media (on an existing system) for free
But some will make you use their software, others will make you use the Microsoft software, while others will let you use both.
As a workaround, you may have been able to make an ISO of your disk, then use the Media Creation Tool to make a USB drive for it.
But, I'd also wonder why you can't boot from the disk - that suggests a problem with the system.
Good luck whichever way you choose to go.
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