Play around with the settings in the camera app via the Menu key. As El Presidente said, the touch focus is probably the key one in limiting blur - you might want to try turning off 'Auto focus' (and 'Face detection') and touching the screen to get the focal point instead.
Check 'Image adjustments', too. By default, all those settings should be '0', which should give a good enough picture. However, you might find playing around with 'Sharpness' and 'Exposure' can limit blur or fuzziness, depending on the composition of the photo.
Also ensure there is good light. The less light, the more blur and shake, unless you hold the camera very still. You'll see the 'hand' sign to indicate when you need to do this; usually, in these conditions, the camera should be mounted to ensure it doesn't move at all.
Finally, make sure the lens is clean. If it's a little dirty, then this could cause your shots to lose sharpness.