I've imported several MP4 files to my iTunes, but they won't sync.  I get a message that says that my iPod isn't set to play that type of file.  How do I resolve this?

This is a 5th Gen nano that I'm talking about.

That's a video file, correct? 
There is a limit to the resolution that is playable on an iPod nano, 5th gen.  According to the specs
"H.264 video, up to 1.5 Mbps, 640 by 480 pixels, 30 frames per second, Low-Complexity version of the H.264 Baseline Profile with AAC-LC audio up to 160 Kbps, 48kHz, stereo audio in .m4v, .mp4, and .mov file formats; H.264 video, up to 2.5 Mbps, 640 by 480 pixels, 30 frames per second, Baseline Profile up to Level 3.0 with AAC-LC audio up to 160 Kbps, 48kHz, stereo audio in .m4v, .mp4, and .mov file formats; MPEG-4 video, up to 2.5 Mbps, 640 by 480 pixels, 30 frames per second, Simple Profile with AAC-LC audio up to 160 Kbps, 48kHz, stereo audio in .m4v, .mp4, and .mov file formats."
So generally, 640x480 resolution is the limit for the video, although the screen itself is only 376x240.  iTunes will not load any video that is not supported by the iPod.  For example, if your videos are "HD," they exceed the limit.
There is a command in iTunes that can covert video to a supported format, as long as the video is not DRM'ed (protected).  Hey...!  I just noticed that command is in a new location in the latest iTunes.  So this is for the latest version...
Select the video in iTunes.  Go up to the menu bar and
File -> Create New Version -> Create iPod or iPhone Version
If conversion for that video is not allowed, the command will be grayed out.  If it works, the resulting version should be loadable and playable on your iPod.

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