# cd source-dir ; tar cf - . | (cd destination-dir && tar xBf - )
Adjustments: You should be able make the last tar command "tar xvBf -" if you wish to see the filenames as they're being copied, without any problems.
This command should be run as root, or at least both tar commands run with sudo, otherwise tar may not have the permissions needed to read all of the files, or set all the permissions needed at the destination directory.