Re: How do you pronounce them?
We pronounce the names as swedish as possible.
Kristoffer, who is the principal originator of the nations their flavour and their names, had words or names from different cultures in mind when he made most of the nations, but that doesn't mean that he or anybody else around here bothers to pronounce them in the 'correct way' suggested by the language that the name originated from, this is partly due to that we chatter quite a bit about dominions and after a while the names etc tends to get swedified. Since Vanheim and Jotunheim are the two nation whose names are Scandinavian in origin these are probably the only ones that we pronounce somewhat similarily to their etymological roots. C'tis and a few others do not really have any etymological roots so I guess our colliqual swedish pronounciation is the 'correct' one for those. But Illwinter and its associates are not particularily good at linguistics, or particularily interested.
If you still think that the 'correct' pronounciation is important you might try to reconstruct it from the cultures that the nations are derived from or inspired by, in all likelyhood your guess at the 'correct' greek pronounciation of Pangaea is as good or better than ours, if you are chinese I wouldn't dream of trying to teach you how to pronounce Tien Chi in a believable way, and so on.
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