We had a small luau a few weeks ago and it was great! It was adults only, but hopefully I can help you with some ideas.
Go to a party store and pick up as many inexpensive leis (sp?) as you can. I found some nice multicolored ones (silk type flowers, not plastic) for about $2.49 each. I also got little tropical "drink garnish picks". I can't think of anything else to call them! They are just like long toothpicks with crepe paper things on top that unfold into a little flower or palm tree scene. We ended up sticking the flower type ones in our hair, but I don't know if that would be safe with a group of kids.
Try this for a chicken recipe. I am telling you it is THE BEST chicken I have EVER had!
Marinade:
1 cup teriyaki sauce
1/4 cup fresh lemon juice
2 cloves garlic, minced
2 teaspoons sesame oil
Marinate boneless, skinless chicken thighs for 24 hours in this marinade and then cook on the grill. It is THE BEST chicken ever! The marinade is so simple. I found it on allrecipes.com and I wasn't sure I would like it (thought the lemon would be too overpowering). I can't begin to tell you how great this chicken turned out!!
I downloaded a bunch of different Hawaiian songs from Limewire and burned a CD. We listened to everything from authentic Hawaiin music to the Beach Boys to Abba (they have a song about Hawaii!). The music really made the party!
If coconuts aren't too expensive in your area, buy about 5 or 6 to use as part of the decor. I bought four (they were under $2.00 each) and placed them on our patio (we had the luau out there). Our azaleas were in bloom, so I plucked a whole bunch of flowers from the bushes right before the party and then tucked them under the coconuts. They looked like bright, tropical flowers and nobody guessed they were azalea blossoms.
In case the adults would like a nice fruity/alcoholic beverage, here is a recipe for mai tai's.
1 oz. light rum (captain morgans)
1 oz. dark rum (I use a capful of Meyer's dark rum)
1 1/2 oz triple sec
1/4 oz grenadine
1/2 oz orange juice
1 oz pineapple juice
You can use extra juice if you think the alcohol taste is too strong. I just measured everything, put it in a shaker, added crushed ice and shook things up until they were mixed and cold. Garnish the drink with fruit if you want.
Good luck and have a great party. I also have recipes for baked spring rolls that were a hit and a honey pineapple pork marinade recipe that everyone seemed to like. Let me know if you're interested.
Edited to add: If you get the coconuts, maybe you can have a coconut race like they do at 'Ohana at the Polynesian? If you do that, you can also get some hula-hoops and have a hula-hoop contest.
