Here's one possibility..... I found this out and was never told of such a thing... When consulting a PC pro, they wanted me to buy a 700 dollar PC with XP on it... until I got a 2nd opinion.
There is a 90 dollar upgrade that Microsoft has. It's the "XP mode." You can get to it in the start menu---> Windows anytime upgrade. To run it, you will need a passcode, which windows sends in an email...after you pay for it.
I'm suspecting that you are on the lowest form of Win7. I had issues with many programs not installing or if they installed, would not run in Win 7. This (DVD Shrink) ran in XP mode just fine.. since it was written for Win XP, not Win 7.
THIS UPGRADE DOES NOT COME WITH SOME WINDOWS PLATFORMS, SUCH AS WIN 7 HOME VERSION. YOU MUST UPGRADE TO USE THE OLDER PROGRAMS. MANY PROGRAM WRITERS KNEW OF THIS NEW PROGRAMMING COMPATIBILITY IN WINDOWS 7, BUT IGNORED IT... HENCE THE UPGRADE.- IN WIN7. THIS IS WHY IT WON'T WORK, ALONG WITH MANY OTHER XP OR EARLIER PROGRAMS.
Also, make sure you are up to date on all your drivers and windows updates.
This "Win XP mode" upgrade worked for me... not only on this issue, but on other older programs too.