Unsure what to do when I open a new VM with Windows 7

I recently upgraded my VM to windows 7. Its been working fine for the last couple of days and today i got a message when I opened the VM.


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The virtual machine performance may be degraded because the hardware virtualization support is disabled on the host computer.

It is recommended to enable the hardware virtualization support in BIOS settings.
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I have no idea what this is. I looked through the configuration area but I'm not sure what to look for. Can someone please help?


Thanks

 

I just got a second error message

I just tried to open my VM and received the following message.

T PRL_ERR_OPERATION_FAILED PRL_ERR_OPERATION_FAILED

I keep my VM machines (two) on my desktop in a folder that I created. I don't use the folder that Parallels created. Could that be a problem?