Here's what I have:

Acer Aspire
AMD Athlon 64 x2 dual core Processor 4200+ 2.20 ghz
1.00 GB ram
320 gb HARD drive
Windows Vista Home Premium

(I REALLY don't know what else to include there, let me know)

Here is my problem:

I bought a PC game last week and cannot install it. My video card and all the drivers are supposedly up to date and working correctly. My computer meets the games requirements. I insert the game and nothing happens. Autoplay is set up though. When I click on the cd drive I get a window that says "Insert disk" and it ejects my game. I put the game back in and my pointer will have a rotating disk next to it (gives me hope every time!) but then... nothing. I've tried the command prompt and "run", doing what the installation instructions tell me to do. This is what happens...

Run... I type "E:\launch.exe" and a window says "Please insert a disk into DVD RW Drive (E:).

I know some things about computers but this is beyond me. I would GREATLY appreciate some help. I update my computer CONSTANTLY and the drivers. Everything is supposed to be working fine. I need help!
Is this a CD or DVD drive ?
Does it work correctly other than installing this game ? ?
Is the game CD a copy or an original ? ?