In the defense of small televisions I also only have a 13" TV that came with my wife. My huge in comparison 19" TV died a while ago and I haven't bothered to replace it. However, since my computer has a DVD player, a nice sound system and a 17" monitor (all monitors are high definition I might add), I am comfortable watching DVD's there. We have a couch in the office and we watch movies after the 2 year old is asleep. I enjoyed LOTR in the theater and on the 17" monitor.
Just to add to the "fanboy" element of this thread, my grandmother bought me the books when I was in grade school and I thought they were fantastic when I first read them. Having read them many times since then I appreciate them even more now than I did then. I thought that to adapt books of that size to three movies was a huge feat which Jackson accomplished admirably. Sure he changed the story some but I can forgive that because the important elements were still in place.
Anyway, just my $0.02.