Oooh. I like this topic!
Gonna add my two cents about home theater audio:
1.
Keeping in mind that in a movie, half of the content is video and half is audio, most enthusiasts agree that you should spend approximately the same amount on your audio set up as you do on your television. I agree with them. (although i personally have spent about 4 times as much on my audio as my video, as i also use my home theater system to jam out to my favorite tunes, its like a concert in my living room!)
2.
A lot of people like to brand-match things in their home. from every appliance in the kitchen having the same logo, to televisions and dvd players. If you want quality audio products, you will have to allow a mix and match of brand names - because companies that make good TVs do not make good speakers, and most companies that make good DVD players etc. also do not make good speakers. Be prepared for at least three different brand names in your set up.
3.
If you can, avoid home theater in a box set ups for anything other than very small living rooms or bedrooms - while the price can get you surround sound for a great price, with decent audio, usually the lower end products have cheap speakers that are incapable of getting loud without terrible distortion - they would work fine in a small room like a bedroom, but most living rooms need more power to fill them with movie-theater sound.
4.
Do not buy from any retailer who will not swap any component around to provide you with varied listening. (For instance, if their speakers are only hooked up to one receiver - if they wont let you hear them through another receiver, this usually means they have products hiding behind the scenes amplifying the signal to make it sound better in the store, or they are lazy and dont want to help you - either of which is in my opinion a great reason to leave the store and look elsewhere.)
5.
In the same vein as point 4, never buy from Bose. Bose set ups in stores are always specifically designed to make them sound better then they really are - and their prices are insane for how they perform. Yes, they put a lot of sound into very small enclosures - however there are plenty of competitors who make far better products for less price, they just dont spend the kind of money Bose does on advertisements trying to make you feel comfortable buying from them. (If you think you cant beat their sound for the size, find a store that demos "Energy" brand speakers - half the size of Bose, and they sound infinitely better to almost everyone i know.)
6.
Speaking of brand recognition - don't be afraid of brands you havn't heard of. Most of the companies that make the best Speakers and A/V components don't make anything else, and have been specializing in the products they make for years. So unless you've actively been buying high end gear, you probably havnt even heard of the better brands.
Here are some of the top companies out there:
Receivers, DVD players etc:
Yamaha, Onkyo, Denon, Marantz, Harman Kardon, Rotel, all make great hardware. Sony and pioneer have high-end lines that some people like, Sony ES and Pioneer Elite, but i think compaired to the other A/V companies, their products arnt quite as good. (but definitely a step up from Samsung, JVC panasonic, etc.)
Speakers:
Polk, Klipsch, KEF, Bowers & Wilkins (B&W), Infinity, Mirage, Energy, and to a lesser degree Boston Acoustics. (I'm sure im missing a few, but i hit on all of my favorites and ones i see a lot in high end stores and brocures.)
Personally, I always recommend Marantz and Klipsch gear - but Marantz equipment is always pricier than the competition - they have great build quality and plenty of features, but you can almost always get way moer features out of an Onkyo setup for a fraction of the price, and they are a respected company as well. As far as speakers, Klipsch is known for making products with a high sensitvity - this means that they can produce clear sound at a wider range of volumes better than another speaker with the same power handling - and they are usually very well priced.
SEARS mostly carries entry level products in the home audio market, but they do regularly sell a package that includes a Denon receiver and Boston Acoustics speakers, which will set you up with a great surround system without having to manually pick out individual speakers - just add the TV and video source, and your set.
Wow thats a lot. I hope i didnt confuse matters! :p