What you will see change is the NPCs you have around you, the interactions with these NPCs and parts of the world depending on the quests you are doing.
As for dropping loot, this isn't possible. Dropping loot in ESO will prompt you asking if you wish to destroy the item similar with every MMO.
There are some limitations when it comes to MMOs and the option of being able to drop loot on the group for anyone to see is one of those limitations due to the resource management within the game.
Yeah, could you imagine the result if a bunch of players got together and decided to drop a tone of items at the same time?
Can anyone say, 'server overload'?