I found the settings.ini file under the ...\VMware\VMware Player and not under the ...\VMware Workstation folder. Just copy the settings.ini file from the Player folder to the Workstation folder and make correction as previously noted. From what I can see, this is a software bug. Player installs and Preferences edits the settings.ini file under the Player folder whereas the actual VM uses the settings.ini file found in the Workstation folder. If there is no settings.ini file whatsoever on your computer, try creating on with the following two lines:
.encoding = "windows-1252"
printers.enabled = "TRUE"
The encoding line may not be necessary, but that's what I have on my host machine (Win 10 Pro)