Also the argonians' tribes sometimes differ greatly. Does this also mean that normal argonians we see can give birth to different forms of argonians?
I would assume that Khajiit, no matter the form, start off rather small, much like how all things are when they are first born.
As for the argonians, the look of an argonian is determined by how much hist sap they drink. Argonians don't give birth to other forms of argonians, they just give birth to some generic argonian thing who drinks hist sap and changes from there.
All Khajiit look like kittens when they are infants. They change as they grow older.
Argonians don't change unless they lick from the Hist sap.
Khajiit forms are based on the moon phases, they just all look the same when they are born. The forms don't show through until they have aged a bit.
Argonians probably have a generic form they take when they haven't ingested any sap.
If the size of the khajit newborn are dependent on the moons then why aren't there 3 meter tall cat-folk walking around? Also why didn't they put up a bigger fight against the domonion? I bet those giants cats could take down a few dozen elves with just a few swipes?
Because Bethesda doesn't have the budget to put in all the Khajiit forms in one game.
And The Dominion won the Khajiit over by making them believe that they were able to bring the moons back. There was never any fight with The Dominion.
Game mechanics. Modeling a dozen variants of Khajiit for a province with barely any Khajiit in it is a waste of time and resources.
Elsweyr joined the Dominion diplomatically. The Aldmer were the ones (or claimed to be the ones) to restore the moons after their absence. Given how strongly Khajiiti society revolves around the moons, this gave the Domininon incredible power in their eyes, and they were hailed as saviors. The political situation between Elsweyr and the Median Empire was lousy all the way back at the start of the era, so joining up with their saviors made more sense than with men who had neglected or tyrannized them in the past.
I don't recall stories of them loving it. By the time of the novels, Elsweyr was all but interdependent, and hostile to all foreigners. The primarily mannish Rimmen, which was the de facto "capital" of north-eastern Elsweyr at the time, was very hostile against traditional Khajiit and their practices.