How to encourage more war and less hiding
For instance, when a player is attacked they can look at the invading army and instantly determine the outcome of the battle based on numbers alone. If you know you can't beat their army, you will hunt, which in turn avoids a battle altogether. Considering this is a war game, that seems a bit counter productive. Also, in pvp, most players quit once their army is wiped along with their pp making it extremely boring after the first few days.
What I suggest is the winner gets a +25% boost in their pp while the loser gains at normal rate. The reason I suggest this is because HK turns into a complete ghost town at times simply because no one wants to lose their hard earned pp. I think players would attack and defend more freely if a system like the one I suggested was implemented.