I have a very, very small 3-year-old.  The shirt, jacket, vest and tie all fit, just fine.  The jacket's a little big in the shoulders, but looks fine.  I think an average 2-year-old kid would find this fits true to size.  The pants were huge in the waist for our kiddo, though, but were easy to take in.  I highly recommend it.  SO cute and a great price.