No, actually, we aren't. Iron Age ends around Roman times. We're early iron age. Which, depending on area, goes back around 1200 B.C. So we're actually around Greek level technology.
Dealing with one's own disputes can often result in fights. Rarely a good idea. Where are these towns coming from? They have time to fight wild beasts while working in the fields? I mean, in Greece, which admittedly had poor soil for farming, 80% of population farmed. And they still only had theaters in the largest cities. Who gets the dyes for the theater clothes? Those aren't just lying everywhere, ya know. Not if you want a variety.
In winters, you tend the animals and you shiver and you hope the firewood and the grain lasts and that nobody gets sick and dies.
Mostly, I'm thinking these travelling theater troupes, though. That needs...a lot. Plus people willing to barter for the performance so the Theater Troupe can practice and actually travel. A Travelling Theater Troupe, with 5,000 people living essentially in the entirety of their society, if they were really motivated? Sure, maybe. Multiple? Not gonna work. Economies of scale. Theaters are a high end cultural phenomenon. They don't exist in every little town for a reason.
Rome started in ~753 BC. The "Early Iron Age" lasted from 1200BC to ~500BC, including Roman times. We don't really need an exact analogue, but we have Iron and Bronze. That is about all we know. We can assume our plowing technology is up to date enough to allow for us to actually do interesting things to happen.
It did often lead to fights. Blood feuds, stabbings, revenge-based "justice", mob hangings, and whatever else. I am not saying it is the bestest system ever, I am saying it is a fairly common ancient system. Do you think that random rural farmers made the long trip to get some law done? Wild beasts attacking is
very uncommon, even in this world. Do you think that the Greeks hired beast fighters to track down beasts and kill them? No, its more "I'mm gettin mah pitch fork and huntin' sling and taking these things down. Comone boys lets do this, get da tochers ready!". They
had theaters, which is the point you are missing. They basically decided to make something just for fun for the sake of people who enjoyed that. With the majority of a population being drawn to Performing, they would probably have one in each town.
I am starting to think you don't know a lot about farming. Most just move their animals to a better land to let them eat. The species we are talking about has thick fur specifically to keep the cold out. Taking care of animals and cutting wood doesn't take all day anyway, with plenty of time for everything else.
It really doesn't, not in real life or in this world. They
can hunt, being fox-based and all. The land they are in is fairly lush and full of life, its not like wandering hunter-gatherers haven't existed before. They are drawn to building theaters. They are
not humans. They don't think like humans do. They are compelled to build theaters and perform plays, so they do.