You posted a "default" mame.ini file.
Mame should start for you and at the very least display an empty games list.
It sounds like you are not burning UDF format DVD's.
Download RecordNowMax and select a new DATA disk. Accept all the defaults, don't change anything after the install.
Open the folder into which you unpacked the Xbox Mame (I hoped you didn't by some chance pick up the Xwindows mame version with similiar name?).
Select all (CTRL-A) now drag and drop onto the RecordNow "right hand" window pane.
Hit burn and boot.
It should come up with an empty ROMS screen.
If so, do the same thing again, but this time drop your FULLY MERGED roms into the roms folder.