.avi won't play on vcd unless you have one of those new fangled thingyies that support avi.
You can use <a href="
http://www.pegasys-inc.com/" target="_blank">TMPGEnc</a> to convert to vcd compliant mpeg. Remember to load the template you need, vcd can be picky.
It isn't the fastest around but it is free. Beware, converting from .mov, .asf, .avi format usually brings HORRIBLE results because the compression isn't great to begin with and your just stretching that. The constant bitrate of vcd also means some bad motion lag at times.
