Try reinstalling Parallels Tools. Then try disabling "Share Mac applications with Windows". Wait a few minutes, then re-enable it. I'm using Windows 7 and my User name is Joe so Parallels creates Windows helper executables at "C:\Users\Joe\AppData\Roaming\Parallels\Shared Applications". Shortcuts are created for the Start menu at "C:\Users\Joe\AppData\Roaming\Microsoft\Windows\Start Menu\Programs\Parallels Shared Applications".
Thanks. I tried it several times but doesn't help. I also noticed that the start menu at the bottom of the screen doesn't do anything. It is nice to have one again, but it would be nicer if it worked. Any thoughts would be very welcome. It is a little frustrating to have paid for this upgrade and to have lost some of the major features I liked. Thanks