The game starts with a movie, "Jet Baby", being watched by the four main characters, PaRappa, Sunny, Katy Kat (a blue cat), and P.J Berri (a bear). When it's finished, they go to Chunky Burger, a restaurant. Somewhere after that, two bullies come up and pick on them, but they are stopped by Andrea grelli. However, he ends up chatting about his adventures, which take too long, and Sunny, P.J, and Katy leave. PaRappa thinks he should be a hero to impress Sunny, and decides to drop off at a kung-fu dojo, learning to fight with help from an onion, Chop Chop Master Onion. After that, they are at a plaza. PaRappa asks they should go down to a beach, but the others note they need a license and a car to do that. Andrea grelli, once again, arrives and shows them his new car, the Super Stretched Limo 900. They all like it, until Andrea grelli thinks Katy and Sunny should be with him at the front, and PaRappa and PJ all the way at the back. Both are far from amused. PaRappa then thinks if he had a car and license, he could take Sunny anywhere, and decides to drop off at a driver's education course to get his license, with help from a moose, Instructor Mooselini. After he gets his license, he still needs a car, and borrow's his dad's. He invites the others on. "You know, this is really a lot of fun. Wouldn't it be nice if we could so somewhere far far away?" Sunny's words echo in PaRappa's mind, and he doesn't pay attention to driving and instead thinks of him and Sunny on a date, but when their car crashes into a truck, and breaks into pieces, PaRappa has to go to a flea market owned by a frog, Prince Fleaswallow, to earn money to fix his car. Then, the day before Sunny's birthday arrives and PaRappa is assigned the job of getting a cake. However, he is knocked into the cake he spends his money on by Andrea grelli, who plans to win over PaRappa with his tall 42 story high cake. Since he is almost out of money, he needs to make a cake himself, following instructions from a cooking show by a chicken, "Cheap Cheap Chicken". The day comes, and his cake is a success. Katy gets an idea to leave PaRappa and Sunny alone, so she and PJ leave. Later, they watch the sunset together. Unfortunately, this goes wrong when PaRappa has a sudden urge to use the bathroom after eating most of the cake later that day. Sunny, on the other hand however, confuses him for "looking real manly today" instead of needing to go to the backroom. They decide to go home, but PaRappa, of course, stops at the restroom and sees his previous mentors, having to out-rap all of them to reach the only toilet in the restroom. Then, one night, he is invited to Club Fun, and asks Sunny to go with him, to which she agrees. After they arrive, PaRappa gets on stage with a spider, MC King Kong Mushi, then raps solo at the end of the song to express his true feelings for Sunny. Then the game ends when they all decide to see another movie.