There's some syntax that I'm missing here. Running this batch file:
for /d %a in ("c:\Documents and Settings\*.*") do mkdir "%a\Application Data\vlc"
for /d %a in ("c:\Documents and Settings\*.*") do echo qt-privacy-ask=0 > "%a\Application Data\vlc\vlcrc"
And I get this output:
\Documents was unexpected at this time.