Why don't you start by opening a dos window (Start -> "cmd" or "command") and then CD'ing to your Emu directory, then running world from within that and pasting the output so we can get an idea of what's wrong.
As an initial thought, though, make sure you don't have any spaces on the end of your lines in db.ini and loginserver.ini, and that they're properly edited to match your setup.
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