Erm.. first, you'll need a DVD Authoring program to generate the .vob files. Some authoring programs can do all the intermediate steps to go from .avi to DVD in a single operation. NeroVision can do this.
Secondly, no matter what your .avi resolution is, DVD only allows a small number of screen resolutions. This is because DVD players were designed to be very simple for cost reasons. Not all DVD players can handle even all these. The only resolutions you can count on are 720x480 for North America (NTSC) players and 720x576 for the UK (PAL) players. A good DVD authoring program can also handle the resolution conversion. Be prepared to wait while it does it. Overnight is a possibility.
Fav quote - "Experience is whatcha don't get 'till ya don't need it no more."
System - Athlon 1.4GHz, Win98, Hauppauge PVR250 receiver and compressor.
Software -Magix Movie Edit Pro 10, Nero 6 + NeroVision Express, Moho 4.61, PSP 8.1, Bryce, Quicktime 6.52 pro, Goldwave 5, DVD-Lab.
Cameras - Panasonic GS9, Canon ES8400V, Canon EOS D20 and Canon A70