Kitchener - you can definitely utilize amps that you already have. As the dealer told you, the pre/pro will allow you to calibrate the sound level by channel (you'll need an SPL meter), so power differences can be compensated for.
Dolby Digital and DTS are both multi-channel digital encoding techniques. DD is encapsulated in AC-3, which allows for many different encoding techniques. The two are used interchangably which, for most conversations, doesn't matter much, but isn't technically accurate. DTS is an alternative encoding which, therefore, requires a different decoder. It's higher-bandwidth and, therefore, assumed to be superior and may well be. There is no doubt that DD is universally accepted by DVD manufacturers. DTS soundtracks are often included now, but not on every DVD by a long shot. Most pre/pros include DTS decoding now, though it used to be a premium feature and if you buy a used one you may not get it. The most straight-forward approach would be just to be sure that the pre/pro you buy does DD 5.1 (again, there are new versions of DD that you can pursue, but at some expense), that the DVD player you get outputs a digital signal (so that the pre/pro is the box doing the decoding), and get a 5.1 channel setup going and sit back and enjoy. A few years from now, you may want to pursue one of the myriad of new multi-channel HT encoding schemes, but after some of the dust has settled. -Kirk