Think of the VM as a physical machine on your network. The virus will behave exactly as if it was infecting a physical machine.
The Virus is contained within the Virtual Machine. Be safe and remove network connectivity from the VM and then trouble shoot. Here is where it gets fun you can see if its a virus that attacks your local system or tries to go out to the network. Get a sniffer for traffic.!
Let me know
Hmm, that's interesting. But notwithstanding the network infections like a worm or something, strictly speaking because VMware is a pure virtual environment a virus can't directly go form an image to my machine , correct?
Unless someone writes some sort of... VMware specific virus that can crack through the emulation code between the hardware and VM... and infect the host...
Which is why you should still run a virus scanner on your host...