When installing a 1997 GM 7.4 distributor at 1 TDC, the rotor should align with the position of the #1 spark plug wire on the cap. First, ensure the engine is at top dead center (TDC) on the compression stroke for cylinder #1, then install the distributor so that the rotor points directly to the #1 plug wire terminal. This alignment ensures correct timing and firing order for the engine.
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