Yes, the Virtual Machine Package Extension (.vmwarevm) is registered with Launch Services to treat the Folder as a Package and in doing so has attributes an ordinary Folder doesn't however it is still basically a Folder. You can ctrl-click (right-click) the Virtual Machine Package and select Show Package Contents if you need to access the files within the Package. Double-clicking the Package will open VMware Fusion and start the Virtual Machine and that wouldn't happen if the .vmwarevm extension wasn't registered with Launch Services to do so.
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