The illusion should prevent any nearby creatures from showing up as hostile, at least in the area around Little Town and District of Night
If the illusion is accidently lost through any means, visit Ziggy ( -21, 0, 13 ) Copy/waypoint -21, 0, 13 (Fuel Merchant) in Renfry's Basement to purchase another Illusion: Werewolf for 1p
Collect several items by clicking special sparkling "nodes" around the area:
Note: The items can be found all around Little Town and District of Night, and they do respawn within a few minutes
Crafting this item requires paying careful attention to the six different counters (not three pairs of matching icons like normal crafting), which are unique/unusual, so craft with care and focus.
Failure to counter while crafting may result in death, however the crafting components will re-appear in your bag upon reviving. You will need to right-click to unpack them, though, before trying again...