things it may be
(a) you need dx9.0
(b) you need new gfx card drivers
(c) you need a new gfx card
(d) you need to reinstal
(e) you need patch 4.1
(f) try a simpler demo
not in any order
a...do you have dx 9.0 or at the minimum dx8.1(soon to be obsolete), you have 8.1 on the cd that Pro came on, so you have no excuses
b...could be you need the latest drivers for your graphics card, sometimes tricky to find if you have a no name card
c...you may have some onboard monstrosity that likes to think it is a 3d card, when it would be pressed to pass for a modern 2d card, some motherboard makers put some hideous excuses for graphics chipsets onboard and then give em a name like "super gamer hyper infini system 3d", when it struggles to display packman in realtime (I kid you not)
d...or your system could be seriously messed up and in need of Mr`s Format and Install (solvers of serious windows doo doo`s)
e...you ARE running patch 4.1?
f...maybe you are trying to run something seriously out of your graphics cards league? try the simpler demos off the website, you can compile those and they should run on most machines
it sounds to me like it may be the gfx card, if it is onboard and Intel or AGP slot and SIS or badly budget and made in Taiwan, it may be that it can just about render 3d as long as nothing has to move

, my first AGP 3d card was so slow (read dire) it rendered at <2 fps in Quake II and crashed the machine often, despite what it said on the box about "accelerating your life" and "3d so real you will think you are there", ya, right!

, seems people put anything they want in the brochures/on the box`s, if you complain they would say, OH! you need a "hardcore gamers" 3d card (then they try to sell you a TNT2

), gee, I do ramble on, try the above and let us know how you went, cheers.
Mentor.
ps: you could also run dxdiag and see what you get from that, go- "start/run" then enter "dxdiag" and return, wait a mo and you should get the diagnostics on your graphics system, cheers.