Okay, here are my thoughts. Any advice, corrections or additions from more enlightened players are more than welcome. MORE than welcome...
I agree that there is little or no reason to move the settler. Moving to the SW or so would get two mountains out of the city radius, but that's only two tiles and would only matter very very late in the game - or even never at all. Furthermore, it's a small world (literally), and plenty of competition, so chances are that a neighbour is somewhere closeby. So my first action will be to settle where I start. If the city radius doesn't reveal anything spectacular I probably send my worker south and then the starter-warrior north and then east (moving over high terrain to see further).
My short-term strategy will be to get a settler out asap. Since it's a small map I'm not going to bother about building a granary first - just get the settler asap. To do that I could time a settler by the time Istanbul reaches size 3, but that may not be so straightforward. Another option would be to let Istanbul grow to size 4 and then crank out a settler by cutting a forest and pop-rushing. So, more in detail : start cutting the forest 5 turns before Istanbul reaches size 4 (or 5, if you wish), make sure that whatever Istanbul is building is finished the turn before the forest is cut, and then switch to settler. When the 10 bonus shields come in you still need 20 shields for the settler, which can be pop-rushed at the expense of 1 citizen.
Right, that's when we reach size 4, but what in the mean time ?
My worker will first road and mine the bonus grassland and then move NE to road and irrigate a plain tile (irrigating a plain is one turn faster than mining a grassland, with the same result). That is, if the forest in the SE doesn't contain deer or other bonuses of course, but I'm not counting on it.
@ Moonsinger : I don't understand why you'll let the worker mine before road.
What will you be building in Istanbul first ? If it's a warrior a mine-before-road won't bring out the warrior earlier, while a road-before-mine yields an extra gold piece. Uhm...right ? (road : 2 turns, mine : 3 turns).
Concerning research : the new QSC-scoring system is meant to let us do selective research. With this setup (small map, 7 rivals) we'll probably have a couple of early contacts, letting us trade basic techs. So with bw and masonry already in the pocket, I'm going to reasearch iron working first. Since this is quite expensive, I'm going to do it at a leasurly 40 turns. This will yield a large amount of cash that can either be used for trading with the AI or a mass-upgrade to swordsmen. Actually, I'm expecting a lot of this approach in tech-research, since the AI always goes for the cheapest tech (if I'm not mistaken) they might occupy themselves with the basic reasearches, enhancing the chances of being able to trade iron working by the time I get it.
@ Jack Merchant : actually, you could get pottery in 15 turns or eventually even 13 turns or so, if you go full-out on that one, but I'm betting a beer that you can trade for it sooner than that.
With all the above in mind, production in Istanbul will start off with a couple of warriors (3 or 4) before building a settler. The warriors will explore the surrounding terrain, and by the time our initial worker has improved the first two tiles, he'll know in what direction to continue working, so that his work also benefits the second settlement. Istanbul may then continue with building another worker perhaps.
With two cities well-developed, I may start thinking about getting libraries and start doing research faster than 40 turns, although, at this level, I might get more research from my warriors than my scientists. Hmm...
I have absolutely no idea what kind of victory I'll be going for. Too many unknowns yet. Actually, I think I'm gonna go for not loosing. Seems ambitious enough for me.
Oh, almost forgot : I tried to re-create the starting condition to do some experiments. I found this very useful to estimate the impact of worker actions and build-choices, so I'm attaching my scenario-file here (crated with PTW 1.14f, European edition). If you use it : I only focused on the island in the top-left corner.
PLEASE NOTE THAT THIS FILE IS JUST MY FABRICATION, AND THAT THE REAL GAME MAY (AND PROBABLY WILL) TURN OUT COMPLETELY DIFFERENT !!!!!!!!!!!!!!!!!!!!
I agree that there is little or no reason to move the settler. Moving to the SW or so would get two mountains out of the city radius, but that's only two tiles and would only matter very very late in the game - or even never at all. Furthermore, it's a small world (literally), and plenty of competition, so chances are that a neighbour is somewhere closeby. So my first action will be to settle where I start. If the city radius doesn't reveal anything spectacular I probably send my worker south and then the starter-warrior north and then east (moving over high terrain to see further).
My short-term strategy will be to get a settler out asap. Since it's a small map I'm not going to bother about building a granary first - just get the settler asap. To do that I could time a settler by the time Istanbul reaches size 3, but that may not be so straightforward. Another option would be to let Istanbul grow to size 4 and then crank out a settler by cutting a forest and pop-rushing. So, more in detail : start cutting the forest 5 turns before Istanbul reaches size 4 (or 5, if you wish), make sure that whatever Istanbul is building is finished the turn before the forest is cut, and then switch to settler. When the 10 bonus shields come in you still need 20 shields for the settler, which can be pop-rushed at the expense of 1 citizen.
Right, that's when we reach size 4, but what in the mean time ?
My worker will first road and mine the bonus grassland and then move NE to road and irrigate a plain tile (irrigating a plain is one turn faster than mining a grassland, with the same result). That is, if the forest in the SE doesn't contain deer or other bonuses of course, but I'm not counting on it.
@ Moonsinger : I don't understand why you'll let the worker mine before road.

Concerning research : the new QSC-scoring system is meant to let us do selective research. With this setup (small map, 7 rivals) we'll probably have a couple of early contacts, letting us trade basic techs. So with bw and masonry already in the pocket, I'm going to reasearch iron working first. Since this is quite expensive, I'm going to do it at a leasurly 40 turns. This will yield a large amount of cash that can either be used for trading with the AI or a mass-upgrade to swordsmen. Actually, I'm expecting a lot of this approach in tech-research, since the AI always goes for the cheapest tech (if I'm not mistaken) they might occupy themselves with the basic reasearches, enhancing the chances of being able to trade iron working by the time I get it.
@ Jack Merchant : actually, you could get pottery in 15 turns or eventually even 13 turns or so, if you go full-out on that one, but I'm betting a beer that you can trade for it sooner than that.


With all the above in mind, production in Istanbul will start off with a couple of warriors (3 or 4) before building a settler. The warriors will explore the surrounding terrain, and by the time our initial worker has improved the first two tiles, he'll know in what direction to continue working, so that his work also benefits the second settlement. Istanbul may then continue with building another worker perhaps.
With two cities well-developed, I may start thinking about getting libraries and start doing research faster than 40 turns, although, at this level, I might get more research from my warriors than my scientists. Hmm...
I have absolutely no idea what kind of victory I'll be going for. Too many unknowns yet. Actually, I think I'm gonna go for not loosing. Seems ambitious enough for me.

Oh, almost forgot : I tried to re-create the starting condition to do some experiments. I found this very useful to estimate the impact of worker actions and build-choices, so I'm attaching my scenario-file here (crated with PTW 1.14f, European edition). If you use it : I only focused on the island in the top-left corner.
PLEASE NOTE THAT THIS FILE IS JUST MY FABRICATION, AND THAT THE REAL GAME MAY (AND PROBABLY WILL) TURN OUT COMPLETELY DIFFERENT !!!!!!!!!!!!!!!!!!!!