We live near Seiverville and have season passes for Dollywood. As someone mentioned, it is totally commercialized and a nightmare to travel on the main strip. Where are you staying? Here is a map I found of the main strip
http://thegreatsmokeymountainsparkway.com/_map/pigeon_forge/pfparkway.htm You will be able to see what is on it. My strong, strong suggestion is to avoid this main strip and try to take backroads like Teaster, Middle Creek etc or else you can sit on the main strip for an hour, moving only 1 mile. It can be that bad. This is especially true if you are going on the weekend.
I have tried to get the route you need to take in to avoid this mess. I had to use AAA trip tik and change what they were trying to do. I am not sure if it will work but this is the link for the map I created.
http://ww1.aaa.com/scripts/WebObjec...700+Dollywood+|Pigeon+Forge |TN| | |&poiKey=0
Essentially, you need to avoid 441, the main parkway through the town like the plague! Instead, turn onto 411 Dollywood Parkway and travel until you hit Veterans Blvd. You will take a right and then follow that down until you see the signs for Dollywood--it's right off this road. I promise it will save you so much time and heartache. We made the mistake of listening to our GPS even though we KNOW this area but we were renting a cabin and didnt quite know where it was. I kid you not, 1 hour and 15 minutes on the main strip to get to Dollywood Lane which ultimately was a huge circle around to the otherside of Dollywood when we could have gone just how I told you. It was brutal.
Okay enough of that. You will enjoy your time here. Dollywood is a great family place. The food is awesome. We suggest eating at Miss Lillian's Chicken house--she is wonderful and will entertain you. Be waiting for Kettle Corn, great shows (as Kids' fest is on I think) and fun rides. We have been pass holders since our girls were 3 & 5. They have always loved it, even the shows. You will find a great train, the carnival areas with kiddie rides, a carousel, water rides (wearing a bathing suit may be a great idea). It's fun.
In terms of what else to do. Your kids will probably be worn out. There are some good restaurants like the Apple Barn and Johnny Carinos (or Italian fav) but those are on the main strip. We just stay at Dollywood and avoid all of the madness.
The strip does have go karts and stuff. If you go to Tanger Outlet (on the main strip but early on and accessible by taking Middle Creek) you can spend the day shopping, shopping, shopping. Check out their website for the huge list of stores. There is also a kids amusement area there like Putt, putt, go karts so mom could shop; dad could have fun
Hope this helps. Let me know if you have any other questions.