You are probably not actually doing this in the order that I said.
I'll really guide you through it this time.
Create a new map, selecting the 'Dalaran Ruins' tileset.
WorldEdit uses a number of GUI interfaces to make for easy navigation and creation of maps. Its the best i've come across, and i look at all the editor programs for all games. The ones you'll be using are the 5 Palettes. These are Terrain (loaded by pressing 'T'), Doodads (D), Units (U), Regions (R) and Cameras (M). So press T and load up the Terrain Palette.
It should look like this.
(resize so it has everything showing)
There are 4 sections. Apply Texture, Apply Cliff, Apply Height, and Size
You'll be needing to use the Texture, Cliff, and Size functions.
Now, lets look at the Texture function.
This will change the appearance of the ground, creating things like dirt, grass, rock, and marble. Tiles with blue squares in the corner are unbuildable: you can't place structures on these tiles. Other than this, textures have no real in game effect.
Tick the box so that it will now say 'Apply Texture: Dirt'. Now, if you click,hold and wave the cursor over the map, you'll make dirt. Probably not noticeable seeing as the entire map is dirt to start with.
Select the White Marble box (bottom left), wave it around and see the marble appear.
Now, go to the Cliff function. This is a big function. This creates the cliff walls that you see. Cliffs go up in steps of 1 or 2 (by clicking the raise 1 or 2 buttons). After a cliff has gone up by 2 levels, it needs a step, an area of flat ground, before more cliffs can be placed. Units can't walk up cliffs, except where ramps are placed (ramps are fiddly things, not difficult to make but they dont always do what you want).
Tick the box so that it will now say 'Apply Cliff: Increase One'. We want it to say 'Apply Cliff: Shallow Water', so tick the shallow water box.
Now, when you are placing cliffs, for each tileset there are two cliff types. One will be the default tile (for Dalaran the default is dirt, so we get Dirt Cliffs) and another one. Dalaran's secondary cliff type is 'Tiled Walls'. Make sure the tiled walls are selected. When two different types of cliff come into contact with each other (making a cliff wall on the same level) wierd things can happen, so try to keep them well isolated.
Cliffs will also affect the squares next to the wall, both on bottom and top: it will create a buffer layer of that texture (in this case, a small strip of purple tiles). This cannot be eliminated.
Skip the height function for now (make sure it is unticked), but remember for the future, no matter how high you raise the ground to make nice slopes, you cant more units from this raised height to a cliff, as they are still on different levels.
Go to the Size function. This determines how big an area you are affecting. Press the grid button (G) (grid may be on by default) until your map is crossed by a yellow grid of big squares made up of smaller white squares (you dont want the littler grey grid tho)
The different brush sizes will affect different areas of terrain. You'll need to switch sizes often to get the desired effect. For now, just select the largest size, 8. The square brushes in a square, the circle affects a circle... select the square for simplicity's sake.
so now your palette should look like this:
Then just click a big square on the map, and you'll get the effect you're wanting.
Whallah! Easy
Bort