How to make a image follow a circular vector without distortion?

[rich2005]

Something like this:

   

The main points: 
Choose a brush (I used a clipboard brush, but can be any installed brush)
Set the brush size...etc...
The brush spacing matters, it is a percentage. Anything less than 100 overlaps
Set the dynamic option to Track Direction

In the stroke path dialogue:
Stroke with paint tool
Enable Emulate Brush Dynamics