Maven is not finding the goal it needs in the version of the plugin you've specified. You'll need to make sure that:
1.) Maven is correctly downloading its plugins (try mvn help:compile)
2.) If 1.) is OK, then try specifying the latest version of the archetype plugin in your POM (latest version can be found on their website)
Nope that's not good . Maven needs to go out to the Internet in order to get it's various plugins etc. Chnaces are you havea proxy server in place that is blocking this access. Luckily Maven has a section in its configuration to bypass this, see here.
Joined: Aug 11, 2000
Renaming .m2 in my %HOMEPATH% to save.m2 seems to have solved the problem.
If renaming worked, then I wonder if the issue was that you messed up your settings.xml file or if your local repository got corrupted. You might want to determine which it is or else it might bite you again.