ORIGINAL: chris0827
Jefferson Davis and many southern generals didn't understand that the confederate's most valuable resource was their army. They lost far too many men trying to hold on to specific locations. Fort Donelson, Island #10, Vicksburg, and Port Hudson all saw the surrender of large numbers of confederate soldiers. When you're outnumbered more than two to one you can't afford to throw away men like that. No city in the confederacy was worth losing an army for.
Yes, that's one of the most striking things that we see so easily now and they didn't seem to see then. They were so outnumbered and yet they behaved as though it wasn't important.