Paul,
I'm not going to reinvent the wheel. There is plenty of info online.
"A good rule of thumb to avoid undersampling is to divide your seeing in half and choose a pixel size that provides that amount of sky coverage. For example, if your seeing conditions are generally 4 arcseconds, you should achieve a sky coverage of 2 arcseconds per pixel. If your seeing conditions are often 1 arcsecond, you'll want a pixel size that yields 0.5 arcseconds per pixel."
Reference -
http://www.ccd.com/ccd113.html
I would suggest you review the above URL as there is some excellent info available.
If you are looking for an opinion. There is nothing wrong with heavily oversampled data. You simply need to work it differently. Deconvolution is your friend.