You need to make sure your computer meets the minimum requirements.
It is common for this issue to occur if you are running it on a laptop or integrated graphics card, which are not supported.
You can also try the following steps to fix it:
1. Install DirectX and Visual C++ components from this folder manually, go to this folder -
"...Steam\steamapps\common\City Car Driving\_CommonRedist\" and install all the components from there.
In some cases this folder can be located in a different place - "... Steam\steamapps\common\Steamworks Shared".
2. Update your video card driver to the latest version from your video card manufacturer's website.
3. Update your sound card driver to the latest version from your sound card manufacturer's website.
4. If you're using a racing wheel (or any other controller), update its driver to the latest version from your controller manufacturer's website.
5. Turn off any antivirus or firewall software.
6. Check the game cache integrity in Steam client.
7. Turn off the Steam cloud profile synchronization for City Car Driving – open your Steam client, click on City Car Driving with right mouse button and choose “Properties” from the context menu. Then open the tab “Updates” and there turn off the option “Enable Steam Cloud synchronization for City Car Driving”.
8. Delete the folder "Forward Development" from your "My Documents" folder.