Forum Moderators: not2easy
Um, this appears to be a very simple question, though i'm not sure what do you mean by "clarity"...
At any rate, the issues of "dpi" and "resampling the image" in Photoshop might be of concern if you were talking about a print quality file, but this is a very standard, very small web image you're making here... just go to Image-->Image Size and convert... you'll need to crop to get those other dimensions. Then Save for web, and use "100 Quality" for the JPEG... virtually zero compression.
You probably know that already, but really there's no reason to overanalyze "clarity" when turning a large web-sized BMP to a small web-sized JPEG. Your dimensions for this new JPEG are too small for anything to really be an issue. The only problem would be if you compressed the JPEG file... but that's the same problem you'd have with any image for the web.
Filter - Sharpen > using this once on the image did improve the sharpness a bit ...however using it more than once on the image made it less appealing ...
am I right in concluding that there will be some loss in sharpness when I resize a large image to much smaller proportions and Filter - Sharpen is about all that one can do in an effort to improve it to some extent?
The average human can interpret about 150-200 dpi at 1 foot away and since monitors only display at 72-96 dpi you should be able to notice a degradation in quality. The reason is that each pixel needs to account for a greater area of the image. Since that pixel now needs to be an average of the color values you will lose some information and "clarity" especially where the pixels join. The "sharpen" filter and to a more precise extent "Unsharp mask" filter will improve the percieved "clarity", but after a certain point you won't be able to squeeze any more information out of a low resolution image.
You can think of it like a mosaic. The smaller your tiles, the more accurately you can reproduce a picture. But if you only have big tiles, the picture has to be a lot bigger (and the people looking at it have to stand further away) to get the same sort of resolution. On a computer the tiles are always the same size no matter how big or small the image is.