In this paper, we study the problem of video transcoding from MPEG-2 to Windows Media Video (WMV) format, together with several desired functionalities such as bit-rate reduction and spatial resolution downscaling. Based on in-depth analysis of error propagation behavior, we propose two architectures (for different typical application scenarios) that are unique in their complexity scalability and adaptive drifting error control, which in return provide a mechanism to achieve a desired tradeoff between complexity and quality. We perform extensive experiments for various design targets such as complexity, scalability, performance tradeoff, and drifting control effect. The proposed transcoding architectures can be straightforwardly applied to the MPEG-2 to MPEG-4 transcoding applications due to the significant overlap between the MPEG-4 and WMV coding technology