Article ID: 179024
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When you use Internet Explorer to view your local hard disk or a shared network drive, the Folder Options command on the View menu may be unavailable.
This problem can occur if you are using the browser-only version of Internet Explorer (the Windows Desktop Update component is not installed).
To resolve this problem, install the Windows Desktop Update component. For information about how to do so, please see the following article in the Microsoft Knowledge Base:
165695To work around this problem, double-click My Computer, and then click Options on the View menu.
(http://support.microsoft.com/kb/165695/EN-US/ )How to Add or Remove Windows Desktop Update
Microsoft has confirmed this to be a problem in Internet Explorer 4.0 and 4.01. We are researching this problem and will post new information here in the Microsoft Knowledge Base as it becomes available.