Those are some good points, I wouldn't object if you could walk around your flagship. They still could put in a Dragon Stone type menu to let you teleport to another part of the ship if you didn't feel like walking.

Fighting in human form sounds like it could be trickier to balance, and this game seems to be built around fighting in Dragon form. I'm not saying that it would be a bad thing, but that would be resources would need to be put into ground-based enemies, and raises more questions: would the human-form have stats and skills? Equipment? Each one of those things you say yes to would increase the amount of resources that would need to be spent on that area. I definitely wouldn't mind if combat was only in Dragon form.

What would be cool though is if you entered the combat arenas by taking a running leap off of your flagship and transforming.

Given all the dialogue apparently in the game, letting the player play a female and having to record lines for new Prince characters could be a nightmare.