Even knowing that you are planning to use foam the pattern will fit your hand really tight you will not have the room to make it work or fit it in properly....but thanks for letting me know......hmmmmm the perky ears idea may work but the ears in the picture are up style of ears and not the droopy ones like Ralph the dog. Maybe make the nose "sniff" like a dog.  Character can also come from what the dog says he does/or does that dogs don't normally do...not always from extra "moving feature."  

I hope the last sentence makes sense.....

Daryl H

If your wanting to use the puppet for live performance I would recommend leaving off the blinking eyes.  To opperate the eye mechanism requires effort that could be channeled into a different movement that would give more personality.  Like hand or paw gestures.

My thought is this ... make the mouth palate flexible.  This will allow you to alter the shape of the mouth giving different expressions as well as the ability to sniff.  (Think about the range of expression kermits mouth gives to his face.) I think this will give you the most bang for your buck.

After that the ear perk could be interesting.