You're probably lacking enough memory, back when I still had a crap PC I tried GTA IV with 768 MB of RAM. It generally took between 15 - 25 minutes to load, and once it did it was playable but hardly enjoyable (I had to press Home every 2 - 3 blocks to force-load the next area, the cop AI would only handle up to 3 cops at a time, etc).
It eventually caused a memory clog and forced me to dispose of the 512 MB card (leaving me with only 256 MB of memory). So if that's the case I recomment you stop trying to run GTA IV, you're not mssing much anyway.