Hotel Hershey is beautiful, but expensive. There are other hotels/motels in the area. My office is located in Hershey (right next to the park) and typically when we have business travellers from other offices, they stay at the Holiday Inn Express just down the road (about a mile). This hotel is also where a lot of the fast food restraunts are located, and it is convenient to the highway.
Edited to add: If you camp, Hershey has a campground as well. Hershey Highmeadow campground is next to the above-mentioned hotel and runs a shuttle to the park and to Chocolate World. A VERY nice campground.