Opinion about albion online reputation system
The main reason for the flagging system is its signalling power. If you are flagged blue, other blue players know that you cannot attack them without some up-front notice. This allows people to cooperate and not be overly scared of each other even in yellow and red zones.
Of course, just reputation, without flagging, has signalling power too. However, we do not think it's enough. Even if you are glorious, if you find the right victim with rare gear, you'd still kill him on sight to take his stuff
For the same reason, we reset reputation to 0 if you flag red. Flagging red means that you are looking for kills, it's essentially "contemplating murder" in real life. If somebody told you he was looking to kill somebody, he'd lose all "reputation" for being a good guy, too
The above factors make our system harsher than the "standard" way of doing it that you describe in the OP. Essentially, it strongly encourges players to pick whether they want to be a) a full blown player killer b) a neutral, who can do the occassional opportunistic kill c) a good guy, possibly hunting down PKs
Here is the pros and cons:
1) Criminal: Can make a lot of kills. But is also in constant danger as he is perma-red.
2) Neutral/slight criminal: Can make some kills while still being able to flag blue. Is a nice target for criminals, as he can be killed without reputation loss.
3) Good Guy: Can't kill blue players at all, unless he wants to turn neutral. Has best protection from neutrals and criminals as killing him costs a lot of reputation.
Now, why do we think we need a "harsher" criminal system? It has to do with the PvP eco-system. Our goal is to have a sustainable balance between blue and red players in the red zones.
To achieve that, we essentially need to manage the average risk that a blue players faces. If, for example, red players can kill 5 blue players per hour, this is not sustainable. 1 hour of fun for the red players has been bought with tons of hours of grind destroyed for the 5 blue players, the result being that blue players will stop using the red zones, the result being that PKers do not find victims any more and ultimately quit too -> ecosystem has collapsed, and this effect has destroyed many hardcore PvP games.
To balance the system, we need to make sure that the risk vs reward for the red players and the risk vs reward for the blue player in in line with each other.
For the red players, this means that on average, he would suffer a little less than one death for each kill. For the blue player, it woulud mean that the benefits of being in the red zone (better resources, etc) somewhat outweigh the risk of being killed. At the moment, I do not think we are there yet.
Albion Idea for Guild Vs Guild Warfare
How guild size impacts how you play should be scalable. This means a larger guild just has more of the same thing, not access to more content. This scaling can be introduced in the form of Influence.
Albion has the framework to produce a really great game
I get a little irritated when I read things like losing this many players is normal for a beta. Yes, some people don't want to invest a lot of time because of a wipe.
Reply of developers regarding the Players' feedback
The only current way to get enchanted gear is to craft an item using enchanted base resources. These are normal resources (iron, etc) found in the open world which have a "glow" around them.
Encouragement-- for those concerned about the Wipe
focus on the best parts the most fun parts of the game, not everything is about items and progress and Albion Online Silver, -such as focus on the thrill of pking, focus on the risk the reward- that feeling of adrenaline- of danger
Albion Online Balancing issue
Bow rain of arrows was repeatable and did descent dmg, but wasn't the best in game. The issue that has been fixed and toned down was the bows mobility
GvGs are a sensible topic as its system is defined by Albion's goals as a whole
Then a guild would just send one naked alt to avoid it. Then an alliance would make an alt guild with 5 people to avoid high payment.