It would definately be nice if "Elf Armor" was still Elf Armor even when a Dwarf is wearing it.
But that is significantly more work.
That depends. Theoretically, they could design the armour once, and then use some specially designed mechanics to morph automatically to fit a range of body shapes. In the long run, it should be less work, and it would be much friendlier to modders who want to create custom items. They could even use the system when designing humanoid monsters. You could outfit orcs using the same system for example.
But this is wishful thinking. I doubt the mechanics in D:OS2 are so sophisticated. It's likely they will have to handcraft every item of wearable clothing to fit at least 8 different body types (the brute force method), which makes me worry about the diversity of armours that will be available in the game. D:OS already suffered from a lack of diversity with only 2 body types.
Perhaps we can add it to the wish list for D:OS3?
