Dalvík and Dalvíkurbyggð is on the western shore of Eyjafjörður in the valley of Svarfaðardalur. The annual sea food festival Fiskidagurinn mikli is held on the Saturday after the first Monday of August, and is attended by up to 30,000 people (even though there are only appr.1500 residents in Dalvík) who enjoy a free fish buffet sponsored by the local fishing industry.
The local economy is mostly based upon fisheries and fish processing. Dalvík has also become a popular tourist destination for boat trips in whale watching, and heli skiing. In sports, Dalvík is probably most known for alpine skiing. Skíðasvæði Dalvíkur in Böggvisstaðafjall is one of the best known ski areas in Iceland. The town has produced a series of skiers who have represented Iceland in the Olympics, World Cups, World Championships, and European Cups, as well as other international and national competitions. Dalvík has also had four representatives at the Eurovision song contest for Iceland, despite its small size.