My dvd players will play avi files no problem, however I have a couple which come up on the screen "Will not play this type of file format". I have re encoded the file with VisualHub ( for Mac), forcing Quicktime encoder, but still will not play.
You may refer to this guide, I followed it and burn the AVI video to DVD on my macbook, it plays pretty well on my DVD player.
http://www.mac-dvd.co...eo-to-dvd-on-mac.html
Hope it helps, email me if you need further help.
I am using a tool called DVD Creator which lets me burn AVI and all other kinds of videos to DVD easily. Any format you want, it can burn to DVDs. Supports Single and Dual Layer Disc. Easy to use and professional. It lets you burn multiple AVI movies on one DVD disc. And it's fast.
Once you've burnt the DVD, you can watch it on DVD player through TV.