Restoring And Or Re-installing Windows 7?

A few months ago I upgraded my Sony Vaio E-series Laptop memory from 4gb to 8gb of RAM. Within the hour of the upgrade I received a few blue screens closing windows in order to protect it (best I can recall of the message) from a certain threat. (I believe it is good to note that I play Global Agenda, which I probably shouldn't since its an i3 2.4 Ghz without a video card) I let the computer rest that day and afterwards it has been working fine (with the occasional blue screen crash whenever the computer's fan runs high) Recently the number of blue screen crashes has increased when ever I would run processor heavy programs such as Vegas Pro 11 (video editing) or even Global Agenda when the computer is cool. It eventually got to the point where windows explorer would freeze sometimes (and it would take a while to unfreeze) I eventually couldn't take it so I concluded that something was either wrong with the hard drive or a virus which AVG or Kaspersky couldn't detect.

First before booting up to windows I pressed F10 to bring up Vaio Care Recovery (or something along those lines.) I believe I skipped the restore point restore and went strait to erase or format the hard drive. The process started after a ten second countdown and stopped at 43% giving me this error message:"An Error occurred while executing an application. The operation was not completed. Shut down your computer then try the operation again after Reboot.Error:320"

I tried formatting the hard drive about 4-6 times each with the same message. I quit. Then I found two recovery discs that I had created earlier. One I wrote "Vaio Backup Disk" which was on a Duel Layer DVD and the other "Repair Disc Windows 7 Boot Disk" on a CD-R. I inserted the Repair Disc and windows loaded files containing system recovery options. A window opened up containing the following message about either Restoring your computer using a system image or use the recovery tools that can help fix problems starting windows. == One thing to note is that in the middle was a graph showing operating systems - partition size - and location. There were none of those shown; no operating system or what so ever == So apparently I couldn't choose system restore point since there was no system to restore. I eventually got to the command prompt and choose to finish the job that Vaio Care Restore couldn't which was to format the hard drive. I looked through the internet, found out how to do it and formatted everything that had to do with the storage (didn't touch the recovery partition). == I had about 4 volumes. C: D: E: F:. I believe I combined C: and D: since there was no need to have them partitioned. And finally formatted them. I tried formatting the Recovery partition, but it wouldn't let me. == After all of this I inserted a Windows 7 Home Edition installation disc but one of three things would pop up after the Vaio logo. One would say that bootmgr is missing. (this is the most recent message and the rest have popped up in the past, but do not continue to do so.) Other messages would say that there is no operating system found, or if it reads the disc at all that a certain file in the boot folder is not valid or found. I am pretty sure that the installation disc works because it launches right away on my other computers.