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Not sure if this is a bug, or perhaps something I'm doing wrong..



It's sort of difficult to "do something wrong" during the first steps with Gamestudio, so I think both alternatives are unlikely.

Just in case your installation was damaged, I suggest that you install Gamestudio again as described in the instructions you've received. Then download the C-Script Workshop and follow it step by step. If you then still have problems, please post to the "Starting" section in this forum, and describe IN DETAIL what you did and what happened. People can only help you when they know the reason for your problem. - Beginner's problems don't belong to the bug section.