What's the Difference Between Better Performance and Better Quality

I am making a DVD of a wedding from a tape and I usually create an image and then transfer it to my PC to burn because my Mac Mini doesn't have a DVD burner. It is telling me that my project has exceded 4.2 GB which I figured would happen but would dread if it did. Well i was wondering what type of quality loss would happen if I used Best Quality? Or is there a way to make a Disc image that I dont know of? Any suggestions would be helpful.

http://docs.info.apple.com/article.html?artnum=164975
If you don't have a DL SuperDrive, I don't think you can create a disk image over two hours.
Well i was wondering what type of quality loss would happen if I used Best Quality?
Best Quality is just that, best quality encoding. I use it for every project.

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