After some searching if found the solution. Works like a champ!!! Thanks everyone.
Solution
Occasionally, VMware Tools in the guest operating system may fail to start after you choose Settings>VMware Tools Install or click the message at the bottom of the virtual machine window. This may occur if the autorun feature is disabled in your Windows guest operating system. Some Linux guests do not have an autorun or automount feature, so you must manually install the tools after mounting the correct ISO for your guest. This information is included in the following steps.
To manually start the VMware Tools Installer:
Choose Settings>Cancel VMware Tools Install.
Choose Settings>VMware Tools Install, then click the Install button in the dialog box that appears. The installer should start installing VMware Tools on the Windows guest. On a Linux guest, this procedure mounts the ISO. To manually mount the ISO, see step 4.
If the installer still does not start on a Windows guest operating system:
From the Windows guest's Start menu, choose Run.
Enter D
setup.exe where D: is the first CD-ROM drive configured for your virtual machine.
Click OK to start installing VMware Tools.