Characters gain experience points that can be spent to develop their attributes. The cost of an increase depends on the character's class and on the current rating of this attribute. These are fencing, archery, healing, trading, blacksmithing and building. If a character successfully uses a skill, it is increased a bit. For example, to increase healing skill you must prepare potions and elixirs.
Storyline is quite simple but intriguing.
There is a mighty artifact called Bracelet of Lordship that grants control over all mortals. This artifact is hidden and guarded by a furious dragon. The dragon obeys the master of another ancient artifact the Dragon Amulet. So you are playing the role of one of three heroes and trying to find this Amulet. The only problem is that it was broken into three parts and each part is in the hands of rival heroes.