chip is "slow" .. clock/frequency probl

The processor can run with an external clock or with its own internal RC calibrated clock (1MHz).
It seems that you are running on the internal clock. By default the atMega processors are shipped with the fuses programmed to run this internal clock.
You can tell the processor which clock to use at program time. There are fuses to set this. Look at the atMega datasheet. and/or help screen of AVRDUDE.