Define Component, Map URL

Checking this box does not appear to do anything.

Capture

I have a project folder where the component is defined that uses images from the /images folder

When this component is added to another project via the Library panel, the links to the images do not update to the new path :

components/carousel/images/file1.jpg

they remain fixed to the old path from the project folder where the component was created:

images/file1.jpg

which results in a broken link.

am i misunderstanding what this check box is supposed to do?

or is it not working right?

P.S. i have the entire /images folder saved as a resource in the component project file.
P.P.S changing to add each image file explicitly to resources had no effect
P.P.P.S unchecking the box gives the same behavior as checking it.