Error message ambiguous
Using v2.0.8 to convert video, specifically mp4 (H264+AAC, 1280x720) to mp4 (H264+AAC, 640x360).
VLC aborts convertion with "Errors" dialog:
Streaming / Transcoding failed: VLC could not open the encoder.
That message does not indicate WHICH (ie Video or Audio) encoder caused the error.
I got lucky, and checked the "Keep original audio track" on the "Audio codec" tab of the "Form" dialog (anyone ever proof read? should be "Stream / Converter Settings"). That setting prevented the error message; I'm guessing there is a problem with the audio encoder.