Is there a way to ensure the photo's resolution to keep as sharp as possible in the final DVD?

I have made several slide shows with photos from a digital camera. All photo's are at a minimum 3MP clarity. The Slide Show always "previews" well on the PC however when viewing the DVD on TV (tv is panasonic flat screen - about 2 years old) or my computer monitor (DELL 21" Flat Panel) the photo's look like they have been degraded some how by the DVD creation process. (jagged edges) I'm assuming the photo's are being compressed when the DVD is created, am I off base here? Is there a setting that determines how the photo's are compressed? Is there a setting I could change to help this? It is very frustrating because I like ALL of the other features of Movie Studio & DVD Architect. The Slide show always plays well, it is just the clarity of the photos that is frustrating especially when they are digital photo's. Moving pictures seem to be fine although I haven't created many of those.

This is also similiar to another post titled "DVD Menu Authoring is Seriously Flawed" although mine is with photo's, in general, that you may add to create a slide show. I do have problems with the clarity of the background photo I used on the main menu page as well. Looks great in the preview but bad on the DVD.

Any help to remedy this would be greatly appreciated.