XviD is good, but you might have a bad release or conflicts with another decoder. Plenty of the codec packs cause more problems than they solve.
Try uninstalling XviD. Run the player again. Keep uninstalling XviD/DivX codecs until the player says it can't render the file. Then install a fresh, non-beta copy of XviD from <a href="http://www.koepi.org/XviD-1.0.3-20122004.exe">here</a>.
If it still fights we need to walk your codec tree and see who's in charge.
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There are a vast number of people who are uninformed and heavily propagandized, but fundamentally decent. The propaganda that inundates them is effective when unchallenged, but much of it goes only skin deep. If they can be brought to raise questions and apply their decent instincts and basic intelligence, many people quickly escape the confines of the doctrinal system and are willing to do something to help others who are really suffering and oppressed." -Manufacturing Consent: Noam Chomsky and the Media, p. 195
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