I get stumped in games sometimes. If it's bad design, there is inevitably a thread on it. (cough portal ores cough). But if there is no thread, it's inevitably something I'm missing. I couldn't get my bow to work. Couldn't hit a deer to save my Viking life. Nobody else was having the same problem. Turns out you just have to aim a little higher. That was all me. The game worked fine.

My first playthrough I had the exact problem you had. Eithkyr chased me to my shed. I was toast. Bottom line- he won. I failed. That toon got flushed and I started over. Odin found a sinker.

There are LOTS of ways to beat Eithkyr. Many have been discussed in this thread. My fave is to logroll some finewood, sack a few lean-to's for corewood and get the better bow, then come back and obliterate him with fire arrows.

Just wait til you get to stone golems. I hate those things.