OK, sounds as if Nero has converted your AVI into a DVD. (Your description is not exactly what I'd expect; there should be two folders in the root directory, AUDIO_TS and VIDEO_TS. The AUDIO_TS folder should be empty. The VIDEO_TS folder should contain IFO, VOB and BUP files such as VIDEO_TS.IFO and VTS_01_1.VOB.)

Anyway, this is bad. Nero is not the best program to use for converting video.

First thing to consider; can your player play MPEG-4 video? It may have a "DivX Certified" logo on it or just say MPEG-4 compatible. If so, you're in luck. Simply burn the AVI file to a data CD, and it should play.

If it can't play MPEG-4, then think about getting one that can. Or a modded X Box. Or a laptop with TV-out. Any of these options is preferable to an AVI to DVD conversion.

As a last resort, you can convert. Use another program for the conversion; Nero is good for the burning only. There are hundreds of different methods of AVI -> DVD, everyone has their preference. Start reading the guides at videohelp.com.