The quality of the SVCD is based mostly on the bitrate used. A higher bitrate produces much better quality, but takes up more space on the disc. Since your video is only 7 minutes, that shouldn't be a problem. You can probably encode in the 2 to 3Mbps range and get very acceptable results.

For publishing on the web, you'll want a much more compressed file. Often people use 256Kbps WindowsMedia. You can see many examples at http://www.vegasusers.com/vidshare/ ... 256K produces viewable results, but they'll be a little blocky and distorted. Some of the videos there use 512K or even 1048K. These rates produce better results, but make the file proportionately larger. Good quality doesn't help if your audience doesn't want to spend hours downloading a humongous file.