From what I can tell, that error message means that you don't have enough VRAM (graphics card memory). Not sure if there's much I can do about that. Are you having a lots of other stuff running when you try to play the game, and/or do you know if your graphics card is old?
Hmm, weird... *scratches head*
Then my two educated guesses would be that you either don't have DirectX9 installed (since DirectX11 is standard nowadays) or that your screen is plugged into the integrated graphics port instead of the graphics card's port. The game is pretty badly optimized (GMS isn't really the best tool to do 3D with) but I've been able to run it on my 2011 potato laptop.