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As the four children hide in the wardrobe from the housekeeper Mrs. Macready, Peter and Susan begin to notice that it's cold and wet. Daylight shines in, and they find themselves with fur coats on one side of them and a winter landscape on the other side. They're in Narnia!
Peter immediately turns to Lucy and apologizes for not believing her story. Lucy accepts his apology.
Peter wants to explore the wood. Susan convinces him that first they should put on the fur coats – after all, the whole land of Narnia seems to be inside the wardrobe, so they won't even be taking the coats out of the cupboard!
Wearing the fur coats, which are so long that they look like robes, the four children set out to explore.
Edmund suggests that they need to head to the left more to find the lamp-post. This causes Peter and Susan to realize that Edmund was actually in Narnia before and lied about it to make Lucy look bad. Peter, especially, is disgusted. Edmund is disgruntled by Peter's response.
Peter and Susan let Lucy decide where to go, and she opts to take them to see Mr. Tumnus the Faun.
When the children arrive at Mr. Tumnus's cave, they find it trashed and deserted.
Peter finds a piece of paper nailed to the floor. They take it outside to read it and discover that it is a notice from Fenris Ulf, the Captain of the Secret Police. The notice states that Mr. Tumnus has been arrested for not reporting Lucy's presence to the Queen.
Peter, Susan, and Lucy are disturbed by Mr. Tumnus's arrest. Lucy explains to Peter and Susan that the so-called Queen is really the evil White Witch, who makes it always winter in Narnia, but never Christmas.
Susan wants to go home, because it seems like things are getting dangerous. Lucy thinks they're obligated to help Mr. Tumnus because he got into trouble for protecting her. Edmund is still thinking about food!
After a brief discussion, Peter, Susan, and Lucy agree that they must stay in Narnia and attempt to rescue Mr. Tumnus. They can't go back to their own world to get food and provisions, because they might not be able to get back.
Although the children want to help, they have no idea what to do. While they are standing around trying to think of something, they see a red-breasted robin nearby. The robin seems to be signaling to them to follow it.
For about half an hour, the children follow the robin, which leads them slowly through the woods.
Edmund and Peter drop back to have a private conversation. Edmund points out that they don't know which side the robin is on, and it may be leading them into a trap. Peter says that robins are good in all the stories he's read.
Edmund points out to Peter that they've stumbled into the middle of a world they don't understand – how do they know the Queen really is evil and Mr. Tumnus is really good? Plus, they don't know their way home from the place the robin has led them, and they don't have any food. Peter is alarmed to realize these things.