Darumaru the Diminutive wants to be a Sumo Wrestler, but has been failing due to his small size. He doesn't understand how someone like him can take on larger enemies when he is not large himself. He takes this question to the hero of Kumaso Village, the player, and asks him to show him how he defeats larger enemies.
He sees the player astound him fighting the larger Gama, by not charging straight at the Gama, but outmaneuvering them. Darumaru learns that when being smaller the great advantage of being small is to take advantage of your lightweight speed and decides to spend his time training to fight larger enemies on his journey to become a Sumo Wrestler.
After training for so long to become a better Sumo Wrestler, he grows too big for his original loincloth. Seeing as it is the duty of the master to present the new loincloth to the student, Darumaru asks the player for the honor of presenting the new loincloth.
Darumaru challenges the player to fight some new burly Youkai, Yagyou-san and Toudaiki, to see how to fight such stronger and larger opponents. He knows the player, his master, will defeat them easily and enjoys seeing the way his master defeats larger and stronger opponents.