Daniel LaRusso (Ralph Macchio) and his mom just moved to California and are trying to start a new life. However, it seems as if Daniel can't fit in with the rest of the people of his age. He is being bullied by local kids and the fact that Daniel is trying to hook up with one of 'their' girls (Elisabeth Shue), make things even worse. One day, after losing another fight with the bullies, Daniel meets Mr. Miyagi (Pat Morita), who is determined to teach Daniel how to fight. Mr. Miyagi is using his own style of karate-teaching methods, which leave Daniel obviously confused.