In the novel The Hobbit, J.R.R. Tolkien uses internal conflict and setting to illustrate the symbolic nature of Bilbo Baggins' home in the Shire, ultimately reinforcing the sense of longing an individual feels when facing home-sicknesses and new challenges. 

Professor Tolkien extrapolates on the mental strife felt by Bilbo Baggins, upon being forced to leave his comfortable Hobbit hole, in order to evoke a sense of familiarity with the reader. To continue, the character Bilbo Baggins is largely known throughout The Hobbit as a coward, and as a meek individual. Additionally, he is well respected in the Shire for his normalcy, and tendency to avoid adventure. Unfortunately for Mr. Baggins' adventure came to him, and pulled him into many death-defying situations. Some of these situations include being hunted by wargs and orcs, running from Gollum in a decrepit cave, and rescuing his party from the brutish trolls. These instances of terror form conflicts inside of Bilbo which force him to question his willingness to put himself in harm's way. This does however also showcase some mental health issues Bilbo develops throughout the story as he faces different traumas. To add, the PTSD like symptoms faced by Mr. Baggins are oftentimes triggered due to his unfamiliarity with daring situations. Moreover, it is observable that he only finds solace in his misfortunes when imagining how lovely it would be to return to the Shire. He even blatantly states numerous times that he longs for the comfort of his home. As an honorable man however, he must complete his contract with the Dwarves; which ultimately forms a desire to uphold his morals, and return to a place he dreams of. Therefore, the longing for his home directly correlates to the mental strife felt by Bilbo Baggins, and how it has motivated him simultaneously. 

Similarly, Tolkien utilized setting throughout The Hobbit to build on Bilbo’s longing for his home, and accomplishes this by showcasing the harshness of the environment. Tolkien does this by setting Baggins in dangerous conditions such as Gollum's cave, Lonely Mountain, and Dale. The aforementioned locations contrast largely with the sweet, green Hobbit hole which Bilbo hails from. Additionally, Tolkien creates an emphasis on home by showcasing factors that force unfamiliarity upon Mr. Baggins, and through the introduction of vile creatures, forces Bilbo to dream of home. Some of these vile creatures include large arachnids, grotesque trolls, overweight goblins, and imposing fire breathing dragons. While there are creatures of good; such as eagles, horses, forest creatures, and more, the world is plagued nonetheless with looming entities wishing to cause harm on others.  Furthermore, the Shire is incredibly unique in Middle-Earth due to the absence of all creatures of darkness. This consequently changes the symbolism of home into one of sanctuary and shelter. 

Overall, Tolkien's utilization of internal conflict, due to the contrasting of Bilbo's morals and obligations, and his use of setting; which illustrates the Shire as a sanctuary like place, symbolically redefines "home" as a place that evokes longing and familiarity.