All my movies that I have wrote to dvd-r using nero, have worked perfect with my xbox...
What i do is::
1) use dvd2one to make the movie the right size
2) copy this new moive that dvd2one made into a directory called VIDEO_TS
3) make a directory call AUDIO_TS
4) load nero, NOT using the express mode
5) when the wizard comes up, select DVD at top left tab (choices are cd or dvd)
6) goto DVD-ROM (UDF/ISO) option
6.5) goto multisession tab, and select NO Multisession
7) goto ISO tab and make sure the following is selected:
-ISO level 1
-allow pathdepth of more than 8 directories
-allow more than 255 characters in path
8) then goto UDF TAb and make sure the following is selected..
-Force dvd-video compatibility mode (required for xbox)
9) then goto burn tab, and select new
10 now drag you VIDEO_TS and AUDIO_TS directroies from the right window (shows files on you hard drive), to window on left side (DVD-R drive)
11) goto the burn icon
12) then goto the burn tab
13) hit the write button
14) if you get a message about multisession or something like that, just click the button that says "no multisession" I think is says that or something like that..
15) the disc will write and work perfect in the xbox...
Please not, I have not been able to get a dvd-rw to work on xbox, just dvd-r (cheap and expensive brands)