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The error code suggests a missing file so I'd run SysInternals/Microsoft Process Monitor, as an administrator, looking for something relevant in terms of a missing file ("NO SUCH FILE" which you can search for/filter on). Not much to go on I'm afraid but I've solved lots of problems like this using this great tool.
figured it out.
on the service box select the startup tab and under mode select jvm, that seemed to sort it.
I also added the path to java in the path on system varibles (but that alone did not solve it) but may be part of it
as post above
tested on 2 fresh install of vista 32bit