There is nothing at all to be concerned about, we went for 2 weeks all inclusive and got back last week, if you are self catering you can upgrade to all inclusive when you there and even if you done it for 1 week it is well worth it becasue the food was great, plenty of choice, loads of salads, chicken roast beef, fish (all meat and fish cooked in front of you), curry, plenty for the kids. If you choose to stay self catering just a 2 minute walk up the road you have a chinese restaurant, english and irish pubs all serving food and then if you go down into the town (about a 10 minute walk) there are loads of places to eat, but for us with 2 small kids A/inclusive was great simply for the ice cream, drinks and snacks and it was a bonus that the main meals were of high standard.
There is a waterpark at Correlejo, and you can book it through 1st Choice, it leaves at 0830 and returns at 5pm, it is about 45 minutes on the bus, we didn't go but others did and said it was great. There is also a zoo which again is meant to be great. At the harbour there are sea lions and an aquamarine with a sumbmarine boat which you can go out on, loads of watersports, beachwise the best one is directly behind the Atlantico shopping centre (which also has a hugh Spar in it for s/caterers) it is a really quite beach with no waves, really calm, nice sand with no stones but it can often be a bit windy on the beach. Cannot fault the entertainment team, they were so enthusiastic and they really made our holiday. Side A is much quieter than side B, side B had the showbar and all activities through the day, the showbar closes at 12midnight and everything tends to go quiet around 1 - 2am, but our room was directly opposite the showbar and the noise didn't bother us at all.
You will thoroughly enjoy your holiday, and we would definately go back but next year the Amarilla and the Dorada are merging to make one hugh complex and I think it could possibly be too big!!!