OK, I kind of breezed past some things, let me be a little more step-by-step.
We have this "standard basis" in \mathbb{R}^2, where the elements are {e1,e2}, and ei is the vector with 1 in the ith position and zero everywhere else.
But this isn't the only basis for \mathbb{R}^2. In class apparently you discussed a different basis (call it B), made up of the vectors { [1 1]T, [-1 1]T }.
Now a vector is a vector, but since these are both bases, we know we can write any vector in \mathbb{R}^2 as a combination of the basis vectors.
So suppose we take the vector v = [2 0]T (expressed in the standard basis). This is the same as saying, for example:
\vec{v} = 2e_1 + 0e_2
But we can also express v in the B basis (as [1 -1]T) :
\vec{v} = 1b_1 - 1b_2
These are equivalent, because:
b_1 = e_1 + e_2, b_2 = -e_1 + e_2
So now we see the following: If we have a vector of length 2 on the x-axis of our normal coordinate plane, expressing it in the B basis rotates it 45 degrees (or \frac{\pi}{4} radians) clockwise from (2,0) to (1,-1). This will be the case for any vector we move from the standard basis to the B basis.
4.1 is concerned with a little problem with these two bases. Often we would like to have it so that if a vector has a certain length in one basis, it has the same length in another basis. So above, our vector has length 2 in the standard basis, but length \sqrt{2} in the basis B.
So you are supposed to find a different basis (also confusingly called B) made up of two vectors such that we preserve the rotational aspect, but now if a vector has length M in the standard basis, it should also have length M in the new B basis. We can get to matrices in a minute.
If you're not sure what to do, convert a few vectors from the standard basis to the old B basis and look at their lengths in each basis. A pattern should become clear.