Hmmmm? Why don't you just use the AV-In functionality of your camera to record (to mini DV instead of pass through). Then capture from the Mini-DV via firewire. Doing it this way you will be able to check on the cam if the quality problem is with the bullet camera.

In Video Studio check that your capture settings are set correctly to capture in DV Type 1 Format.

If quality is still poor, then try derag of your hard disks.

Hope that is of some use.

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IBM A51p with 160Gb Boot Disk, 160Gb external Firewire Disk, 2Gb Memory and a super duper sound card, 17\" TFT Monitor etc etc etc
Sony TRV33e : Sony TRV310e : Canon XM2
ULead products mostly including Mediastudio Pro (V8.0), Video Studio 8, Movie Factory 2.0, Premiere Elements

Remember, there is always more to learn than there is to teach.