Yes, you can provide the opportunity for your applications. You must assign below code to your filemanifest
<manifest xmlns:android="http://schemas.android.com/apk/res/android"
android:installLocation="auto"
... >
This will enable this option for your application.
See links below -
Application Installation Location
Manifest element
But the important thing is that it only supports from 2.2 (Froyo) and higher.
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