[ubuntu] VMware Player - system requirements for host system and guest OS

I have a system with:
GIGABYTE GA-880GA-UD3H
AMD Phenom II X4 955
8GB DDR 3
VMWARE Player
On-board video - no separate GPU
Ubuntu 10.04 soon to be reinstalled to 14.04

I'd like to not touch the base system for daily use and use several VMWARE Player guest operating systems (Ubuntu 14.04 and maybe Windows 8) - only two guest OS simultaneously at most.

I have the VMware tools in the guest operating system installed.
For the guest operating systems (also Ubuntu) I have 2GB RAM and 2 CPU allocated for one and 1 CPU allocated for the other - so the base system always has at least 1 CPU.
Virtualization is enabled in the bios and "automatic" set for for the guest OS.

Problem - video playback (VLC) is poor.

Would adding a dedicated GPU solve the problem? Do I need a better system - such as an i5 or i7 non "K" based CPU (for virtualization)?

Any other suggestions or guides appreciated. Thanks!