This issue occurs if a virtual machine that is meant for VMware Hosted products such as VMware Workstation or VMware Fusion is powered-on on a VMware ESX host.
The underlying format used to store virtual machines on VMware Hosted products differs from the format used to store virtual machines on VMware ESX hosts.
To import a virtual machine stored on a VMware Hosted product to a VMware ESX host, the virtual machine should first be converted using VMware vCenter Converter. For more information on conversion, see the VMware vCenter Converter
documentation.
Alternatively, the virtual machine's virtual disk files can be imported to a format understandable by VMware ESX using the command:
vmkfstools -i <HostedVirtualDisk> <ESXVirtualDisk>
Connect to the ESX host using an SSH session or ILO/DRAC to use this command.
For more information on this method, see the
Migrate VMware Workstation and VMware GSX Server Virtual Machines section of the
ESX Configuration Guide.