I was also facing the same problem. problem is solved now( 100% working)
1. go to c:\windows\system32 2. make sure you have xlive.dll (if not download it) 3. rename it to xlivestart.dll 4. now run game it may show " xlive.dll" not found 5. Now install xlive (you should have in GTA 4 redist or Redistributables, if not download it) 6. Make sure c:\windows\system32 contain both xlivestart.dll and xlive.dll
RUN game and enjoy
More aboutgta failed launch solved
Make Sure that the most required data ms32dll is found or not. after that check you video performance and make sure that your pc is fit for this game.