I use Photoshop Elements for my photo work. Photoshop Elements is a slightly scaled down version of Photoshop that runs only $100. The feature I like best is that when you use the Save to Web option, you can look at what the image looks like if saved as a jpg or a gif. Traditional wisdom says to use jpg for images, but I often find that gif looks just as good, with a smaller file size. There is also a batch process feature so you can resize many images all at once, if you are able to do that.
I would not recommend resizing the images in Lectora. Even if the image appears smaller on the screen, it is still calling the larger photo file, taking up bandwidth unnecessarily. If you have the publishing suite that comes with an image editing tool, you can certain use that. Another option, if you don't have money to buy software, is to use Microsoft Picture Manager. There are some simple options for resizing and cropping graphics.
When resizing images, I usually resize them a little bit larger than I'm likely to need them, and then size them more precisely on the page in Lectora. That way, if I change my mind about a page layout and need to make the image a little larger, I still have room to do that without going over 100% of the image size.
If you'd like more tips on working with images in Lectora, you can download a free chapter from E-Learning Uncovered: Lectora Version 9. It is the chapter on working with graphics and media. http://www.e-learninguncovered.com/4-Media.pdf
