Nero will do with the vision express add on. As long as it is a valid avi file. What can make it invalid is the way it is encoded, normally the problem is the audio encoding is at the wrong setting, a lot are done at (if I remember correctly) at 44.1khz when it should be 48. You can reencode with tmpgenc.
Also has the file been encoded at NTSC rather than PAL or vice/versa this can also cause problems.
have a look at
dvdrhelp.com
also have a look here
dvdsanta.com