I just installed Python and did both this tutorial and the Python website walk through.
I was having the same problems described here and took a short break then re -looked at everything, and found the problem in the python instructions indicated path for python24 and THe latest download was python 25, heck there was no path location LOL. Simple fix, yet elusive at times that one little typo from reading different walkthroughs.
I also placed the statement in path att he beginning of the path, C:\python25; C:\otherpathfolders;.....
Adding the New variable was also necessary, sorry I cannot get a screenshot here... yet
Hope this helps someone out
Tromble