All this could be remedied if OB used another approach to the same levelling. For instance, if they were to divide the opponents up in 3 or 4 main 'groups' of attackers. Low-life bandits and other 'simple' opponents could indeed start at the same level, and level up with you until level 10, or something (in any case, before they got ridiculous expensive gear). 'Medium' opponents (bandit leaders, second-best characters of a quest, mid-bosses, etc.) would start at level 2-3 and level with you until level 20, at which point they would stop levelling (meaning, they would be equal to you at level 22-23, if all other factors (like armour/weapons) remain the same. Strong opponents (end-bosses, last characters to defeat in a quest, etc.) start at level 3-6, and stop levelling with you at level 30, meaning they would become equal at 33-36 and maybe level equally with you again when you reach that level.
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The fourth creature type could be "boss" creatures, starting at level 12, and would level with you for 35 levels.
In addition to this some zones could also have additional spawns to certain creature types or have additional spawns across the board.
Also, maybe there could also be varying levels of gear quality amongst the different creature types. the gear quality of the different creature types would work like the creature types, in that the higher your level the more common the higher quality gear, but the lower quality stuff wouldn't completely disappear.
- I. "Very Poor" (creatures with little/no gear, or just clothing). This gear quality type would be exclusively available to the "Simple" creature types, and would be their default gear quality.
- II. "Poor" (a few pieces of low quality gear). This gear quality would be available to "Simple" creatures past level 6 and would be the default gear quality of "Medium" creatures.
- III. "Common" (a full/near full set of low quality gear, possibly mixed with a peace of medium level gear). The Uncommon gear quality would be available to "Simple" creatures who're level 10, "Medium" creatures of level 8 or higher, and is the default gear quality of "Strong" creatures.
- IV. "Uncommon" (a set composed of a mix of medium gear and low quality gear). "Uncommon" gear quality would be available to "Medium" creatures of level 14 and "Strong" creatures of level 11.
- V. "Rare" (a set of medium gear with a piece of high quality gear). "Rare" is available to "Medium" creatures of level 19, "Strong" creatures of level 17, and would be the gear quality default of "Boss" creatures.
- VI. "Very Rare" (a set composed of medium and high quality gear, leaning a little to the high quality). "Very Rare" would be available to "Strong" creatures of level 24, and "Boss" creatures of level 17.
- VII. "Superior" (a set of full/near full high quality gear). "Superior" would be available to "Strong" creatures of level 29, and "Boss" creatures of level 25.
- VIII. "Petty enchanted" (similar to "Superior", but would have quite a few enchanted pieces of Petty quality). This would be available to "Strong" creatures of level 34, and "Boss" creatures of level 30.
- IX. "Lesser enchanted" (similar to "Petty enchanted", but would have Lesser quality enchantments). This would be available to "Boss" creatures of 36.
- X. "Common enchanted" (similar to "Lesser enchanted", but would have Common quality enchantments). This would be available to "Boss" creatures of 42
- XI. "Greater enchanted" (similar to "Common enchanted", but would have Greater quality enchantments). This would be available to "Boss" creatures of maximum level (47).
Now, let's come up with a hypothetical situation.
Player is level 45 (which is the lowest max level in Oblivion w/o exploits if i remember correctly). Player goes into a dungeon. There are a total of 50 NPCs. 20 of them will be "Simple", 14 "Medium", 11 "Strong", and 5 "Boss" creatures.
Out of the 20 Simple creatures 10 of them will have Very Poor gear quality, 7 will have Poor Quality, and 3 will have Common Quality. Out of the 15 Medium creatures 6 will have Poor. 4 will have Common, 3 will have Uncommon, and 1 will have Rare. From the 12 Strong creatures 3 will have Common, 3 will have Rare, 2 will have Very Rare, 2 will have Superior, and 1 will have Petty.
Now, it's the Boss creatures where things get a little sticky, as they're small in number and have a large variety of gear quality types. 1 would get "Rare", another would get "Very Rare", a third would get "Superior", and after that the last two would probably be randomly picked out of the last 4 gear quality types.
Out of this scenario a lot of the mobs will be low level and have svcky gear, and only 3 of the mobs would have enchanted gear, and unlike Oblivion only a couple of these mobs might actually have enchanted gear that would sell for a good profit. However there'd also be a few mobs that'd be able to hit you like a MF.