Specifically, this problem occurs when you connect to a document library in a Windows SharePoint Services 3.0 Web site by using Microsoft Internet Explorer. You browse a folder in the document library, and then you click Open with Windows Explorer on the Actions menu. However, nothing happens. Or, you receive the following message:
Your client does not support opening this list with Windows Explorer.
This issue occurs if the following conditions are true:
-You are using Microsoft Internet Explorer 6.
-The path of the folder contains more than 100 characters.
Workaround:
To work around this issue, use one of the following methods:
-Apply hotfix 325355 for Internet Explorer 6. For more information, click the following article number to view the article in the Microsoft Knowledge Base:
325355 (http://support.microsoft.com/kb/325355/ ) You cannot access Word documents by using Outlook Web Access on a server that is running SharePoint Portal Server
-Use Windows Internet Explorer 7. For more information about Windows Internet Explorer 7, visit the following Microsoft Web site:
http://www.microsoft.com/windows/ie/default.mspx
I hope the above information will helps you to resolve your problem... Thanks!!!