VGA is analog cable and gives some kind of approximation of the picture. HDMI or DVI gives pixel perfect digital picture. Unless there's something wrong with the TV, there is no possibility of VGA connector giving as good picture as HDMI/DVI.
I don't see anything terribly wrong with it, but screenshot from PC wouldn't really show the difference anyway from what your TV can or can't show. Put WoW also into 1920x1080 widescreen resolution, and either fullscreen or windowed-maximized. That should remove all scaling problems.Idk if this will show up as it is to me, but im now home, im connected via hdmi cable, and im in 1920x1080 res. And it looks awful compared to before.
Or hmm... What exactly is the brand/model of the TV? Is it even FullHD or so old that the panel is just 1380x768 sized and it's "HD Ready"?