in answer your first question yes you can use the internal harddrive of the new Acer.
and VMplayer is the hypervisor. this is the software that allows you to run your comverted Machine as a guest on your new machine. it is a peice of software that reads the VMDK and VMX files (virtualmachine configureation file) that was created during the conversion software, and boots the virtual machine on the already running new machine.
it is a bit like inception.
