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During my current replay of Oblivion, I just did the Cropsford quest. (And became aware of the lore controversy surrounding Cropsford's appearance in ESO.)

I figured the most honorable solution was to recover the totem from the Rock Biters and give it back to the Bloody Hands. I had to clean out most of the Rock Biters to get the totem back, but left the survivors alone as soon as I killed their shaman and they settled down.

I also had to kill several of the Bloody Hands, because I wanted to explore their cave and leave the totem inside. But I was surprised at how civilized the Bloody Hands appeared to be, at least if all of those dinner tables set with dinnerware are any indication. (Yeah, it's been many, many years since I last did that quest, so I forgot.)

The goblin societies are surprisingly advanced, all goblin-kin seem to be truly intelligent. A lot of their current social situation seems to be based on the same oppression that saw the Orcs be exiled from cities up to the late Third Era. But the real best solution is to take the totem, and collect as many as you can to start a goblin war for control of the totems. They'll all come to collect theirs wherever you go with them

Cannot find the poll option for "No, I'm too busy killing every last one of the green vermin."

I hate goblins. Especially when the Warlord starts turning up... So tedious ):
I always make sure to do the goblin quests as early as possible, or at least have loads of Invisibility potions so I can just nip past them.

If I had Oblivion on the PC then a mod to allow the option to prevent Goblin dungeons respawning would be top of my list.

Goblins are definitely one of the most broken enemies at high levels. Running into a cave filled with chiefs was nightmarish. There attacks were insanely fast and hit like a nuke. I honestly am curious at what level they mostly playtested the game at.

I read an article on CNN ages ago about how most people only play each computer game a relatively (*) short period of time before moving onto the next game. (* certainly compared to anyone on this forum ^-^ )
I think it said only 50% hit the 10 hour mark or something.

So I could understand games developers, especially if they were short on time, placing a huge priority on playtesting and balancing for the lower levels.

Not great news for the Epic Gamers out there but this is just the 'Nature of the Beast' it seems.

[Back on Topic]
Goblins! Boo! Hiss! Down with the squeaky green-skins! :p

Mournhold gobbos > Cyrod gobbos

Goblins have the most hit points at end game, but I wouldn't say they are broken--You just need to be at the top of your game. Compare the toughest normal enemy at level 1, which is a zombie. It takes about a dozen bow shots (iron bow, iron arrow) to kill the zombie at default difficulty. Now compare to a level 50 goblin warlord, which takes about a dozen bow shots to kill (Hatreds Soul bow-uncharged, steel arrow). The difference being that at end game every shot needs to be a sneak shot, and you need 100 Marksman, 100 Sneak, and the ring of Kajiit (you can do the same with the Hatreds mace using only 6x sneak hits). You can also kill them with Goldbrand (100 Blade skill, no sneak attack, maybe 100 illusion for a paralyze spell). Their grand soul will replenish the charges used on the sword. I don't know about non custom magic spells (Destruction).

The only good goblin is a dead goblin, if you ask me. *whacks tutorial goblin shaman upside the head with her own staff* die you stupid pain in the rear, die!

I have never had goblins come after totems. I've left them on my porch at White Stallion lodge, I've left them next to the cave entrance over by Skingrad etc. etc.

End game goblins are made to be equal to level 1 zombies to bring the game full circle. But, for the first you are facing them with 25 skill and iron weapons, and at the end you are expected to have full stats and best weapon. 15 iron arrows w/iron bow no sneak shots for the zombie, 15 steel arrows with Deadric bow on level 50 Goblin, but all shots must be 3x sneak shots with 100 Marksman+Agility. You can guaranteed the sneak with damage speed poison and/or chameleon potions (very abundant ingredients for both) or just with the Ring of kajiit and low light.

"I believe the AI packages have a limited radius."

I left one at the entrance to its cave (Skingrad road) to see if the enemy goblins from Goblin Jim's cave came for it. They never did, but it may be that you need the original goblins and I had killed all of the actors getting the staff.