Sorry but I don't understand your answer, that it needs adobe RAW ?
From what I understand the DNG converter is installed as a free separate program that you can install on your PC, or Mac computer. This program should read your Nef files and convert them to DNG formats. Once a DNG file is created it needs a program to open it such as Lightroom or Photoshop or else.
If you open it with photoshop the DNG file will be open automatically by "Camera RAW" included in photoshop. If you open it in Lightroom it will open as a RAW file (DNG) in the "library" module after using the "import" button. The corrections will be done in the "Develop" module that is a copy of "Camera RAW", where you can set all the parameters such as White balance, blacks, contrast, highlight, fill light, vibrance, saturation, noise, sharpening, distorsion, etc. In fact Scott Kelby says in a video training that now he opens and correct all his NEF and Jpeg files using "Camera Raw" instead of "curves" and "level adjustments" in photoshop.
That was a good idea. But, it still has to be able to read the RAW file. The DNG converter refers to the same RAW file camera list as PS, Lr, and the rest. So it appears we will just have to wait until Adobe figures out the D7100's new RAW algorithm.