Bon is a Japanese Buddhist custom to honor the departed (deceased) spirits of one's ancestors. It has been celebrated in Japan for more than 500 years and traditionally includes a dance, known as Bon-Odori.
Bon Odori, meaning simply Bon dance is an event held during Bon. It is celebrated as a reminder of the gratitude one should feel toward their ancestors.
I can't say I am Japanese, or that I danced the Bon Odori dances for the reasons they were meant for, but I sure felt special in my patriotic yukata this Saturday! I might have stood out, and even had Japanese ask me if they could take my picture (and others not even bothering, just snapping away without asking!) but I still was proud to be American, if even in a foreign land where not everyone looks kindly on us gaijin!