you need to convert the .avi file into the dvd format files (.vob i think)

u can do this with a program called WinAVI. its a good program and can convert almost any video file type into another. mpg to avi, ram, dvd, etc and vice versa

after it converts to the dvd format files, i just burn it on a disc using Nero. go to burn DVD Video Files then just drag the files inside VIDEO_TS into the VIDEO_TS on nero and start burning