Windows XP Mode - Could not enable integration features

Question

Hello!  Let me start off with saying that I'm not very computer savvy, so please be gentle!  :) 
So here my problem.  I have scoured forums all morning looking for a solution and have tried many things and nothing has worked yet.  I have Windows 7 Pro.  I use the Windows VM to run in XP mode so my small business programs will
operate correctly.  This morning VM would not open.  I click to open Windows VM, it take unusually long to attempt to open.  After 5 or so minutes error message - Could not enable integration features with details stating .  It gives me
an option to retry or continue.  When I hit retry, it does so but the ending result is the same error message.  When I click continue it states the operation has failed - the VM is not running. 
What I HAVE tried-
-Reboot
-Clicked start>windows virtual pc>open windows virtual pc>right click settings
          - From this point I have tried to shut down from the close option as well as uncheck enable integration features at start up. Status is in Hibernation and has not changed. 
Your help will be greatly appreciated.  Thank You 

Answer 1

Bob, I have read as much as I can find on this problem (Enabling Integration Features and having it remain enabled), and your responses are the most straight forward, complete and seem to have helped a number of others. So, I'm adding to this discussion,
instead of starting a new discussion, so that I can get YOUR response.  
I am running Windows 7 Professional on a Dell Precision M6500 laptop with an Intel Core i7 processor and 8 Gb of memory.  When I first setup the laptop I installed Windows Virtual PC and XP Mode, after downloading from the Microsoft.com
website.  While the installation went without an error, getting to use it was a major, and long problem.  I have one (very) old planner software app that I've been using since the mid 1980s. Being somewhat stubborn, I refused to change to a newer
app. So, I installed the app under XP Mode (it doesn't run under Windows 7) and it worked fine.  I then tried to setup the printer and the Guest PCs drives (some USB).  I followed the Microsoft instructions and suggestions I found in forums. 
I finally gave up and called and paid for Microsoft tech support.  Many weeks and we finally got it working - was able to print to my wireless printer from XP Mode and was able to backup my data to the Host PCs USB drives (I make three copies of the data
on a daily basis, so I actually have 21 copies of the data after a week).  When we got it working I never had a problem with Enabling Integration Features, before it would disable Integration Features after I enabled them, repeatedly.  Then a Windows
7 upgrade hung - 8 hours and the PC hadn't shut down.  I powered off the PC and then powered back up.  I got a blue screen error about CPU being too hot and the PC shut down. It was no hotter than usual. Powered up again and all seemed fine, until
I went to start XP Mode and my planner.  XP Mode was trashed, wouldn't start.  Tried to reinstall and still had the same problem.  So, another call to Microsoft Tech support and another fee. Interestingly, the fellow that I worked with this
time as a level higher and knew the first tech I worked with.  A few days and XP Mode was back running and the environment was actually as it had been when the PC crashed (the VHD file was still there and had my original environment - settings, programs,
printer and drive mappings - all in place, this file is in the same location as the VSV file).
Long winded background to my current, repeated problem. Integration Features will no longer stay enabled.  While I don't recall a "crash" or "hung" PC, my notes are all in that planner app in XP Mode and I can't get to it.  So,
I uninstalled VPC and XPM and reinstalled from scratch. Reinstalled my planner app, configured and tested my printer and host drives (didn't map them, just access them from My Computer).  Suddenly (as I said, I can't recall anything going wrong to trigger
the repeat of this problem) Integration Features will not enable.  I've deleted the VSV file and the problem still exists. Just "Shutdown" XP Mode and 50 Windows XP updates were installed.  Then installed 48 updates. It worked for one afternoon and
evening. Booting the laptop this morning and Integration Features again is unstable. One more Windows update was installed.  Then I followed your suggested steps:
Delete the" Windows XP Mode.vsv" file in the folder
C:\users\[your user name]\appdata\microsoft\Windows Virtual PC\Virtual Machines.
That should then allow XP Mode to start correctly.
Have you uninstalled, rebooted XP, and reinstalled the Integration Components?  All of this occurs in XP Mode not on Win7.
1. Uninstall the Integration Components in XP Mode from Add/remove programs
2. Reboot XP Mode
3. Reinstall the Integration Components in XP Mode from WVPC menu.
The laptop is also in the same Workgroup as the Host PC and all the other PCs on my LAN.
Any suggestions?
Where can I find the following folders from XP Mode on the Host PC:
C:\Documents and Settings\All users\Documents
C:\Documents and Settings\XPMUser\My Documents
I created folders in both with the backed up data and programs from my planner app and would like to have access to them from the Host PC.
I'm just about at the point of abandoning XP Mode and looking for an alternative Virtual Machine app, just using Outlook, or getting the Outlook app from the original software provider of my planner app.  All of these options are less
than ideal, but Microsoft's XP Mode has also become less than ideal.
TIA
Neil Cook