It's more of a calculation preference for why we seldom (if ever) use a multiplier of M=1. You could opt to use the phase to neutral voltage, and use M=1 all the time. It is just a less common practice.
As for the origins of sqrt(3), it helps to draw it to scale. Get a compass and a protractor, and draw the following diagram, with the length of vectors a, b, and c each equal to 12 cm, and 120 degrees between each of them. Measure length L, between any two corners, and get 20.8 cm. You can also prove it with trig, by cutting triangle BCN in half. You see the 60 degree angle between vector c and the horizontal. Take its sine, and equate it to (L/2) over c. Sine of 60 degrees is our special case, where it equals sqrt(3)/2. Cancel the 2 from both sides, and get: L/c = sqrt(3).
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The way this represents the phase of electricity waveforms, is that the system of vectors is rotating about point N (assume clockwise rotation), and the projection onto the horizontal axis (or real number axis) is what the voltage is in real time. This is a real world application of imaginary numbers; keeping track of phase. Phase A will start at V = Vmax, and proceed along the cosine curve, slowly decreasing in value from where it started at its upper turning point. Phase B starts at V = -1/2*Vmax, and continues descending toward the bottom turning point where V=-Vmax. Phase C starts at V = -1/2*Vmax, and climb back to zero. If you form the time-domain equations for voltage, you get the following. The +120 degrees, and -120 degrees, is the phase shift. The w indicates the angular frequency. Using degrees as the units for the trig functions, means that it is 360 degrees * frequency in Hertz. Mathematicians prefer radians as the angle unit, so that is why it is a lot more common for you to see w=2*pi*f.
Va = Vmax*cos(w*t)
Vb = Vmax*cos(w*t + 120 degrees)
Vc = Vmax*cos(w*t - 120 degrees)
You can also rearrange the cosine with a phase shift, such that it is a sum of sine and cosine, with no phase shift in either term.
Va = Ax*cos(w*t) + Ay*sin(w*t)
Vb = Bx*cos(w*t) + By*sin(w*t)
Vc = Cx*cos(w*t) + Cy*sin(w*t)
Solving for Ax, Bx, By, Cx, and Cy, we get:
Ax = Vmax
Ay = 0
Bx = -1/2*Vmax
By = -sqrt(3/2) * Vmax
Cx = -1/2*Vmax
Cy = +sqrt(3/2) * Vmax
These are also the components of each of the three vectors, at the snapshot when time = 0. The X-component of each vector in phase-space is the coefficient of cosine, and the Y-component is the coefficient of sine.
The amplitude of the waveforms is not simply the phase-to-neutral voltage, but rather there is a correction term of sqrt(2). So if it is 120 V nominal to neutral, it is really 170V from neutral to the peak of the waveform. This has to do with a special kind of time averaging called root-mean-square or RMS. So it would've been more accurate to draw the lengths a, b, and c to equal 17 cm instead of 12 cm, as they represent 120/208V 3-phase systems. However, that distracts from the point of how 208V = 120V * sqrt(3), because both nominal voltages are multiplied by sqrt(2) to get the amplitudes.