Mark Partition Active the cloned Windows 7 now. It appears to already have the System Boot files. Having the Active flag in place assures the boot cannot be derailed during repairs or reinstall. Make sure the WD HD remains HD set to boot first in BIOS setup.
You can relabel the HD in C Properties box.
Best way is to wipe the old HD with
Diskpart Clean Command from Windows 7 on new HD. Make sure you choose the right HD or use free
Partition Wizard to have a picture of what you're doing.
Then repartition as desired in Disk Mgmt.
Partition or Volume - Create New
or using free
Partition Wizard if you want it Logical.