Well, diplomacy is a different game than Civilization III. 
After all, you can also win a game here by building a space ship or gaining a cultural victory. Furthermore, with Civ3 you build up your empire with the land you have. Conquered land is half as valuable as your main land because you have to build it all up again (unlike in diplomacy), unless you conquer it somewhere in the beginning. But that would give you the reputation of "the aggressor" for the rest of the game.
I believe you think too much in war terms, col.

After all, you can also win a game here by building a space ship or gaining a cultural victory. Furthermore, with Civ3 you build up your empire with the land you have. Conquered land is half as valuable as your main land because you have to build it all up again (unlike in diplomacy), unless you conquer it somewhere in the beginning. But that would give you the reputation of "the aggressor" for the rest of the game.
I believe you think too much in war terms, col.