NIS09 launching applications

I just installed NIS09 on a working system and found major problems. The system is XP pro, SP3. Relevant applications include MS Office, Acrobat reader, winrar, PixWizard (a graphics viewer), real player and windows media player. Powerdesk 6 (a file utility) is installed. Fix-it utilities are installed, minus the antivirus part.

It appears that a number of applications will no longer launch from within file viewers. When examining the contents of a folder with "my computer" or "my documents", some files launch without difficulty if selected. This includes text files (via NoteTab), pdf files (Acrobat), video files (RealPlayer, Windows Media Player), zip files (via WinRar).

Other files do not launch at all. This includes MS Office files (.doc, .xls), jpg files (via PixWizard). The same behavior is observed with these files if I try to launch them from Powerdesk, or from Forte Agent (for Usenet material). In all cases there is no response from the application being called. The hourglass figure shows. When I try to close the calling application (powerdesk, my computer etc.) I get the typical small box "this program is not responding", with the prompt to close it manually. Generally the title bar on the window adds "(not responding)" to the window title.

All of the applications that will not launch from within another application *do* launch without any problem when called on their own.

Any thoughts?