Mpeg 2 and GFX

Is it me or does live action footage look better when encoded to Mpeg2 than motion GFX? I am so sick of every designer at my company being like "this doesn't look as good as it did in Final Cut", granted none of them even know that video on a DVD gets compressed. But it always makes me wonder if I am doing something wrong. I think that I use the highest encoding settings possible in DVDSP...Mode: 2 pass VBR, Bit Rate: 6.0, Max Bit Rate: 8.0, Motion Estimation: Best. I mean I agree, it never really looks spectacular (always a bit soft), but I don't know how to remedy this. Am I doing something wrong, or does motion GFX just not look that great when encoded to DVD?

Thanks,
Eli Mavros

Eli Mavros