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Now you have two solutions: either use VMware and get responsive graphics and sound almost out of the box (once again, no 3d) or go with Virtual Box and the experimental Softgpu. For sound, you will have to change the sound card to an AC97 and fetch the drivers for it.
However, if your CPU is recent, there is a solution: Patcher9x.
You use 86box or PCem which are not virtualizers but hardware emulators so you will need a really fast CPU (especially in single thread). The advantage is that Windows 98 will be running on period appropriate hardware, since all of it is being emulated real-time.