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No, battles always take place on the battlefield. For the Dwarves, I also upgraded their Combat Alchemy (CA) + attack with an attacking hero and retribution, and leadership. I don't even know if the Dwarves could withstand the first wave of attack from the Elves if they had, say, a complete set of Dwarven artifacts. Because when I was fighting for Inferno, 900 of his units immediately rushed into attack and completely wiped out 3 of my stacks of not the weakest units. The stats were also roughly equal.
Whatever