So that Nero accepts an MPG file so that the CD Video-CD 2.0 created with it conforms, then the following conditions have to be met:
MPEG-1, with Audio Level 2, File ending .mpg
Audio: 44.1kHz, two-channel sound, 224kBit/s
Video: 352x240/29.97Hz (NTSC) or 352x240/23.976Hz (NTSC) or 352x288/25Hz (PAL)
This alone however is not enough. The combination of both data flows in one file also has to comply with the Video CD-specification. If this is not so, then Nero the error message appears
emits "Stream-Encoding which is not suitable for Video CD " ("stream encoding which is invalid for a Video CD").
To get such a stream to become VCD compatible as well, the MPEG-Encoder has to offer an option to create VCD compatible files as attention has to be paid to too many marginal conditions for a user to be able to set everything correctly himself.
With the ULead Videostudio you get a Video CD conforming MPEG files if you proceed as follows (Excerpt from: http://www.ulead.com/tech/uvsfaq.htm#14):
Q14:
What template should I use for a Video CD?
A14:
Please select MPEG1 Video (29.97 fps, 352x240 for NTSC, 25 fps, 352x288 for PAL) in Start: New Project: Available project templates.
To make the MPEG file for VCD, go to Finish: Make Movie: (choose MPEG format) Options: Compression tab, then select "Optimized for CD-ROM" checkbox.