pdflatexwhich uses the PDFtex package (see www.pdftex.org. Do not use dvipdf as the resulting PDFs are fuzzy.
Unfortunately, recent versions of pdflatex do not accept .eps files. One possible solution to this is to create pdfs from your eps files using epstopdf. The latex source file (the .tex file) should be edited so that a file containing a graphic object is referred to by it basename only. For example, changing
\includegraphics{file.eps}
to
\includegraphics{file}
would mean that latex will find the eps file, and pdflatex will find the .pdf
file and both are happy.