It's cheaper and more convenient to get an internal drive. You could probably install it yourself... in fact, even a computer-illiterate neighbor probably could (well, maybe not, but it's not THAT hard). Go to NewEgg and pick up a Pioneer DVR-107D drive. It's $84, with free shipping. There are cheaper DVD burners available, but the Pioneer is natively supported in OS X, versions 10.3.3 and later (earlier versions won't work with the iApps and such because they came out before the drive was introduced).
So, once you have the drive, it's a pretty simple manner of opening the case, taking out the old drive, and putting in the new one. If you need any help, XLR8YourMac.com has an illustrated drive installation guide you can use.
An internal drive will provide so many benefits. It's cheaper because you don't have to buy the Firewire case. You can get even more money back by selling the old drive. Although there are ways to get iDVD to work with an external DVD burner, it'll work right off the bat with an internal. Plus, the new drive is probably faster than the current one, so everyday tasks like reading CDs will move more quickly.
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