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The name "Rothenburg ob der Tauber" means, in German, "Rothenburg above the Tauber". This is so because the town is located on a plateau overlooking the Tauber river. As to the name "Rothenburg", some say it comes from the German words Rot (Red) and Burg (burg, medieval fortified town), referring to the red colour of the roofs of the houses which overlook the river. The name may also refer to the process of retting ("rotten" in German) flax for linen production.
Since German does not have the th-sound (as in thin), the proper pronunciation of the first syllable of the name is more or less like English rote, while -burg is similar to "burk". In IPA (International Phonetic Alphabet): [ro:tənbʊag ɔp dєr taʊba].
Source: Rothenburg ob der Tauber - Wikipedia