Story Structure

The three-act structure is a traditional one for stories, dating back to Aristotle’s Poetics.

In the first act, the characters get to know each other and the setting, and discover what they need to do to complete the story successfully; they face some easy and a few average challenges, and possibly one or two hard challenges, some of which they may fail.

In the second act, the characters struggle against their environment and are tested on the way to completing the objective; they face some average and a few hard challenges.

The third act brings the story to a conclusion and resolves the issues raised; the characters face a number of hard challenges. At each stage, they build up relationships and resources to use in resolving the dilemma or issue which they face.

A five-act structure elaborates this:

Exposition: shows us the characters, their resources, their conflicts, and their setting. Ends with an “inciting moment,” an incident arising out of the main conflict which leads to the rest of the story.
Rising action: The main conflict is complicated by, and examined through, the introduction of subsidiary conflicts. Its emotional importance increases as a result.
Climax or turning point: involves a change for the better (if things have been going badly) or worse (if they have been going well).
Falling action: Wraps up the conflict in favour of one side or the other. May include a final moment of suspense where the outcome seems again in doubt.
Denoument: The characters and/or their circumstances are decisively changed by the outcome of the conflict and the price they had to pay in it. They may come to new realizations as well.