What is terrain and how does it work?
Every city has a terrain type and units and countries get bonuses or penalties based on the terrain they are in. The bonuses apply to the hit points, strength and ranged strength of the units and vary from -5% to +5% per terrain for units and between -3% and +3% for countries. The unit and country bonuses stack, so if you are in Egypt (with +3% in desert) and have a Camel (with +5% in desert) the Camel will have its stats increased by 8% when fighting in a city with desert as terrain type. That’s quite a big bonus, but on other terrain types you may get a significant penalty! (In snow for example, the same unit/country combination would decrease the Camel’s stats by 8%.