Hair is really hard to do.
+1
If I could give you a cookie you would be most deserving
no NO! go sit in the corner!
Aside from you people not even knowing what "pre alpha" means nor what the term applies to in relevance to game design progress, the fact that it's "pre alpha" does not instantly mean every aspect you don't like is going to be totally different when the game comes out. What you are seeing there is probably final.
Making hair is hard. "But wait hypno, how come hair works so well in most other games" Well in most other games hair is built
onto the model, each character model will have it's own unique hair and it will be animated accordingly. In TES games, you can pick any haistyle, and the hair will even change size depending on the dimensions of your head. This makes it really hard to animate hair realistically, and avoid clipping issues with armor, clothing, and even the player's skin. Lest we forget that I think you can change the size of your body dimensions too, this will make it even harder to model hair realistically.
The shot here looks fine.
http://3.bp.blogspot.com/-tZ0blvxysLY/TZTvpsCGU9I/AAAAAAAAAg4/V2KAbmv2HOE/s1600/Skyrim_Tavern.jpg
It's realistic, there's no noticeable clipping issues. While the textures could use a bit of work, they look fine off hand.