Warfare | Caravan The Banner Saga Guide
Last update: 11 May 2016
Warfare appears in the third chapter of the game, when you travel to Ridgehorn. It happens always when the caravan encounters a large group of enemies. All decisions you make and battles you fight will affect all the caravan. For example, when you win a battle with your active party, all of your army will win it.
The game gives you five options, the decision should be based on number of enemy units (it's shown for both sides of the conflict so you may determine who has an advantage):
1) Charge! - an aggressive charge is a good idea only if you have a significant advantage.
2) Formations! - Making a formation is good when both armies are similar in number.
3) Hold Them Off! - Trying to hold the enemy off is a good idea when they have an advantage.
4) Retreat! - Running away is a good idea only when the opponent has a very significant advantage. Choosing it will let you avoid the battle but many of your Fighters and Varl will die.
5) Oversee! - Watching the battle passively. Not recommended, your units' results will be much worse than your own.
To sum up, you should actively take part in all major battles, choosing option 1, 2 or 3. Use option 4 only as a last resort.
After each battle like that you'll be asked if you want the caravan to keep going (Pull back before they regroup) or attack more enemies (Kill a few more as they flee). Choosing the second option will let you get renown points and improve morale but you might encounter some elite enemies. Choose this option only if you've won easily and your units are not severely damaged.