» Thu Apr 07, 2011 4:56 am
"The improved Radiant AI technology is also more aware of how a citizen should react to your actions. As you perform tasks for them or terrorize them by ransacking their home, the NPCs develop feelings about you. If you're good friends with a particular NPC and barge into his house during the middle of the night, he may offer you lodging rather than demand you leave the premises. “Your friend would let you eat the apple in his house,” Howard says. If you swing your weapon near an NPC, knock items off their dinner table, or try to steal something of value, they'll react with an appropriate level of hostility given their prior relationship to you."
Straight from the GI website, in their article about http://www.gameinformer.com/games/the_elder_scrolls_v_skyrim/b/xbox360/archive/2011/01/17/the-technology-behind-elder-scrolls-v-skyrim.aspx. I don't know how deep this relationship system goes, but sounds like steps in the right direction to me.