An effective way to analyze a story with young children is to make a moving picture.  Discuss with the children the setting and characters of a story.  Then students are co-creators as the teacher draws the setting and characters and cuts out the characters.  The characters you made act as puppets while you act out the plot and say the dialogue.

Above, I’ve created a moving-picture for the story, The Hungry Cat.  As the antagonist, the Hungry Cat, moves through the setting he encounters other characters.  They have dialogue and action, and eventually the story climaxes as the Hungry Cat meets his comeuppance.  Making moving pictures is a good way of enhancing student understanding of story elements and bringing meaning to the story.