Building Python libraries on Windows can be challenging.
This message indicates that the Visual C++ compiler cannot be found:
Unable to find vcvarsall.bat
You could install Visual Studio Express and try again, or use another compiler as suggested in the referenced question. But you may find that this leads to further problems, e.g. now the MySQL headers can't be found.
Manually installing MySQL from source will likely fix that issue, but that might reveal its own dependency problems.
Instead of going through this rigmarole you might consider installing precompiled versions from Christoph Gohlke.