I followed the tutorial here to setup Liferay + server + SDK, but I got an error while creating my portlet. It tells me that the portlet gets created, but I still get an error a
I changed the permissions of all folders involved in the task to 777. It worked :)
The comment in the referred link says, he had permissions issue (probably he had read-only) for the folder where he wanted to create portlet. So, he changed it to 777 (read, write, and execute).
Actually, its not the builder which is failing in creating new plugin, it is the OS that is not allowing the contents to be written on file system.
You can change permission of particular folder referring following link:
How to set 777 permission on a particular folder?
However, if you are further interested in permission system, go to:
http://www.maketecheasier.com/file-permissions-what-does-chmod-777-means/