Now people have mixed feelings for the race combinations in each faction but I believe it sort of makes sense in a way. Though it does look to me like the factions -have- to be connected by their allies, now, let's ask ourselves.. What would you do if you could create a faction, what would you call it? And what races would be placed in each?

For an example: Say there were Three main factions right? They would consist of:

The Republic of Markarth - Orcs, Nords and Breton

The Summerset Council - High Elf, Wood Elf and Redguard

The Free Nations of Tamriel - Khajiit, Argonian and Dark Elf.

Is yellow really necessary?

republic of markarth(name) wouldnt make any sense as at this time markarth is reachmen territory and belongs to neither nords or bretons. and redguards would never join elves.

ord, redguard, breton, dark elf, nord, argonian, high elf, wood elf, khajiit

the nation of one