At the beginning of the game, we all create a character. We pick our race and our gender, and that gives us a small fluctuation in the skills that we have. That's pretty much it, right? I mean, if I create a Female Breton and name her Sue, and you create a Female Breton and name her Barbra, what's the difference? I see no possible way for our characters to have a history, to be customized, to represent our preferences or choice or lifestyles. I see no way to Role Play.
In essence, the only thing I see is that we start the game with the RPG equivalent of a gob of play-doh. We can mold the character based on how we play them, but why can't we create anything interesting to start with?
That's where you use a little thing called- imaggggginnnaaation.
The wonderful thing about Elder Scrolls is that it gives you no backstory. As opposed to more linear RPG's, your character is free for YOU to define.
My female Breton named Sue might have been a fierce warrior from High Rock who is in Skyrim to search for her lost father, wheras your female breton named Barbara might be from a mage from Cyrodil who is an empire loyalist, looking to quel the Skyrim rebellion.
It'd be nice to have more options at the start, sure. The Daggerfall systems (haven't played but, from read) of picking resistances and enemies you are weak/strong against sound great. But you still have the ability t efine your character as different from the get-go, even if it' not specifically supporter by game mechanics.