are you also running V-REP on Win7? Do the plugins load correctly when you launch it via the launcher or by double-clicking a V-REP scene? Finally, have you installed the VC redistribuable packages?
What happens if you simply copy the V-REP PRO EDU folder to another location, and try to launch it there from the command line?
It might also be that you need to be specifically in the V-REP folder when launching it.
So:
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C:\Program Files (x86)\V-REP3>V-REP_PRO_EDU\vrep.exe
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C:\Program Files (x86)\V-REP3\V-REP_PRO_EDU>vrep.exe