Hey Lin Ji,
The system tracks a large number of variables. For instance, your reputation with other characters; whether you found a certain weapon; or even just what you picked for dinner. In Book III & IV we're taking some steps to highlight a number of your choices that had a big impact on the story.
These can influence how people react to you and which turns the story takes.
We also have a Discord server if you'd like to talk more with us and other players: https://discord.io/wispfire