It looks like you don't have 3D drivers and/or DirectX properly installed for your video card. Or your video may not be capable of 3D acceleration for whatever reason.
We'll need more info about your computer. If you know what type of video card you have (you should be able to find the display adapter information in Control Panel -> Hardware Tab - > Device Manager ) tell us the model number and brand name (if shown).
Also see if you can Run "dxdiag" from the Start Menu.