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The party is a bunch of people/creatures from the same small forest village. On a typical adventure, some big nasty ogres come over and eat some of the villagers. The party sets off to find the ogres' lair, which involves bartering with some owls in exchange for them showing the way. There's a big river and later a large cliff in the way, which the party has to figure out how to handle themselves.
Once they get to the ogres, they need to either convince them to stop eating people or fight them. The ogres are pretty strong so fighting means the party has to trick them into splitting up so they can fight one at a time. Combat in this game works like in most others, but where you'd normally have an "unconscious" character they're merely "knocked down" and can't get up without help. Where you'd normally have a dead character, they're just very unconscious, and you'll need to bring them back to the village elder and he'll use some smelling salts to fix things (queue sidequest to find more smelling salts).
Defeating the ogres doesn't mean they're dead. Instead of "dead" it's more like "sitting in the corner pouting". You make them cough up your friends, but now the ogres are very hungry so you're going to have to go on a quest to feed the ogres. When you're done with all this, the ogres are your friends and you can get their help next adventure.