Mpeg 2 vs dvcprohd 1080p

Need Direciton:
Ive made many dvds in the past and have always used mpeg2 to render the file that I then put into encore or what ever dvd authoring program im using.
I am now creating a dvd game video which requires a menu that pops up after the video that has questions. Now that menu is a psd that is at 1920x 1080, which is the format I used from one of the templates in Encore.
The problem is im new to HD video formats and I started rendering out using diferent codecs to see the quality differnce.  Simply because the psd at 1920 x 1080 kept shifting when I rendered out my video in mpeg2.
So I came across dvcprohd 1080p codec which I rendered out my video in and the psd will still shift but not noticable compared to mpeg 2 format.
So I guess my question is if I render out my games in dvcpro hd 1080p then bring in those files into encore, does encore render out the whole video in the right format that will play on any dvd player?
Is there a standard practice for bringing in cretain formats into encore for creating a dvd, or will encore do the work when rendering final dvd?
Ive looked around and it seems that mpg2 is the standard but Im not satisfied because my final dvd looks great on my wide screen tv when I us dvcpro hd, but will it be able to be masproduced?
any links or knowledge is greatly appreciated....just trying to learn and understand...thanks

Yes, that is true...I guess my question was too long.  I think I have narrowed it down by searching through the forums.
I read that "Encore (and all DVD authoring applications) output all video to MPEG-2".
http://forums.adobe.com/thread/444574
So my question is does it matter what format you bring into Encore, since it will render it out at mpeg 2 no matter what?

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