Its a little goofy the way you have to do this but here it goes.

First you just save the avi from the file menu in the player.
When the dialog box opens make sure you say you want to make the
movie "self Contained"

Now you will need to save it again as a diffrent file name if you
want to compress the video for streaming or CD distribution.

Now that you have the two mov files created on the drive, select
the first mov you made and open it. Go to the File menu again and
select "Export" now you can choose the compression you want. Name
the new file you are going to create the name of the second file you
created. QT will not create a new file from export and You cant use
the same file name that you are writing from. Hence the need to create
the second movie. Hope this helps. Regards,Bill