by having 1 big image you compromise the quality of some of the elements on the page by compressing the whole thing, this then makes the text look blurry etc. i would have broken it up a bit using the photo bits as jpegs and the nav/text as gifs for starters.
I would take it further and try to have the text as actual text, but good point. Most of us design in photoshop or fireworks or something similar (personal choice again), then cut it all up and put it back together. It might help you to consider that there are many different stages in the creation. Photoshop is but a single stage of the process. Flash is often used as an alternative to markup, but is completely the wrong tool if you need to create a basic, quick-loading, no-frills design. There are very few tools that were created with a single tool.
I'm a hand-code guy and am biased that way, because I have come to web design from a programming background. So rather than give you my opinion I will give you some points to consider:
-Some hand-coded sites won’t display nicely in a wysiwyg editor (I know mine don’t). If you are intending to work for someone else, you will almost certainly have to edit other people’s sites. If these sites won’t display nicely in wysiwyg, you need to hand edit them.
-Your boss may require you to use dreamweaver or frontpage to create the site.
-Wysiwyg is easier but hand coding has more flexibility.
-If you learn the easy way first, the hard way may seem too much effort to bother with (this happens to a lot of people). If you learn the hard way first, you can pick up the easy way without really trying.
-hand coding allows you to do anything. If you have the kind of mind that can think around corners then you will always be able to code a way through it. Can you do this with Wysiwyg.
-wysiwyg (especially frontpage) adds so much bloated code. I recently looked through a site made in frontpage and managed to reduce the total filesize for the code by about 40%! I don’t know how much of that was frontpage and how much was the user, but it puts me off.
-Javascript is worth learning, but you don’t need to know that much of it. Whilst DHTML can be fun to create, it isn’t really that useful. Learn the syntax and the ways of integrating Javascript into your site, then buy a big reference book (I use the O’reilly definitive guide). Server-side scripting is more important.
I would suggest learn to hand code, then learn wysiwyg. That way you probably will learn both (rather than sticking with the easy option) and can decide for yourself which is better for you and which you find most useful. It also covers you for when people require you to do things a certain way.