If you can get the mpu-401 to work in your dosbox, it will be worth it as the music will be even the more enchanting.
Be sure to read the patched.txt file. And check out Uesp, lots of good tips for avoiding the nasty issues. Oh and ps do not stand near fires too long, after a while they do wierd things with your digital sound. And set your objmemsize to 5000, 2000 imo is too low.
Moving on.
One of the most challenging things to do In daggerfall is to get a complete set of silver armor. I personaly have never done it, came close but never completed the set. You do not have to wear it, just make it a personal goal.
Collect paintings, there are a lot in the game.
Collect the even rarer centerfold paintings ( do not do if under 18.. er do not play if under 18 )
Do all the Daedra quest. Read books to find hints on how to do this.
next part may be considered a minor spoiler.
If your a Dibella fan, make The city of Tigonus in the region of the same name in Hammerfell, your main home. There is even a very nice House to buy right next to the best part of town for shopping and selling. A Fighters guild a mages guild and a temple of Dibella all nearby. ( I do not remember if there was a knight order or not, will in about an hour when My character gets there though ; ) ) Another nice thing about This region is that it has some smallish dungeons to crawl in. So adventuring is much less of a pita.
And finaly , yes the game map was all randomly generated. But at the time of print, not at the time you start a new game. So your Tigonus in Tigonus will be the same as everyone elses.