I tried reinstalling VMware Tools, but nothing worked. Nothing, that is, until I tried this handy tip I found on Dave Taylor's Web site. The problem is in a VMware configuration file. Let me how to find and modify it to make your Ethernet work.
Shut down the virtual machine. Even if it's suspended, I recommend firing it up and shutting it all the way down.
Now you need to find the virtual image of Windows 7.
It's likely in Documents, in a folder called Virtual Machines.
The image for your Windows 7 is likely called something like Windows 7.
Whatever your image is called, if you're sure it's the right one, control or right click and choose "Show package contents."
Now find the file that ends in .vmx.
Right or control click on that file and choose "Open with." Then choose Text Edit, or whichever text editor you prefer.
Once the file opens in your editor, scroll down until you find these four lines that start ethernet0.
You're going to add a fifth line.
Type ethernet0.virtualDev = "e1000"
Now save that file and close it.
Go restart the virtual machine.
You should now have the ability to surf the Internet.