Performance depends a great deal on what you’re doing. And how you have your system set up.
You have an i7, which is good… but you also have the slowest i7. In the past, Intel specified processor speed based on the peak possible, and used their clock scaling technology to power down when load dropped. In the case of the i7, they spec a lower average speed (1.6GHz in your case), but boost the clock when power demands are present, AND when the power savings policy of the device allows. In short, before you do anything, make sure you have the laptop on AC power, and have the power management policies set to 11 for AC operation. That’s how you get the fastest performance out of that puppy.
Without knowing more, it’s hard to say anything specific. Your laptop is plenty of horsepower for editing basic MPEG-2 or AVC video in hires. Most of the slowdowns come from multiple layers of video and plug-in effects… a deep enough stack of plug-ins and layers can bring ANY PC screaming to it’s knees. I have done 2 minute videos that take hours to render and can’t really be previewed in realtime (not without pre-rendering, anyway).
Sometimes, the solution is to render in phases. For example, I use Neat Video de-noising sometimes on video shot under too dark conditions… it does a nice job. It’s also going to slow down preview to pretty useless levels — there’s just that much computation to do. So I do the noise correction before the regular editing.
-Dave