AgEng....
Here are some suggestions based on our own experiences (we live about thirty minutes from the Great Smoky Mountain National Park).
Townsend is definitely a better place to go if you want to avoid the crowds in Gatlinburg, Pigeon Forge, Cherokee, etc. Very close to Cades Cove...a really neat area in the Smoky's.
Also suggest Hendersonville, NC...about thirty minutes south of Asheville. Very quaint downtown...in fact, I prefer it (slightly) over Fredericksburg, TX.
If you want to blow the bank, go to Blackberry Farm in Walland, TN. Very private, the scenery is awesome, and the food is second to none.
http://www.blackberryfarm.com/
Don't know where you'd be flying from...Knoxville is the closest airport to Townsend and Walland, but tickets are not cheap.