[propbeanie]

But which folder? If you are in "C:\Program Files (x86)...", which is what the install routine defaults to, then Windows is preventing your being able to properly activate mods. You could either re-install the game, and delete the "\Program Files (x86)" portion of the path when you get to that section of the set-up routine, or make a directory of your own, such as "C:\Games" and put an SH4 folder in that.