I was wondering how do you create or save an image properly so that I'd be able to open it on Photoshop and resize the image without being pixelated.
I have been downloading free icons online and I always choose to download the PSD file. When I open the PSD file, it will a square shaped icon on the bottom right:
Our graphic artist (still a student and is currently an OJT) creates images using Adobe Illustrator, but when he saves the file as PSD and I open it using another computer, it won't have the square icon, so when I try resize the image (small to large) it will be blurred/pixelated, unlike when there's the square icon on the layer (apologies as we don't know what it's called that is why we don't know where else to post and ask this, as we are not an expert on this field).
If it is "smart objects" the icon is different: