Not all Lexing DVD players with a Divx logo can play Divx/Xvid or AVI files, did you check your player with a Divx/Xvid file prior to procuring it?.. Ive seen some Lexing labelled wit MP4 and Divx logo, but cannot play the simple 500 videoke songs.
Do check your burned CDs/DVDs, if they can be played in your desktop(that is if you have a Divx capable classic media player or youv'e downloaded the KLite codecs), then, it's the player that has a problem.