The game begins with Daniel-San fighting in the All Valley Karate Tournament. He will have to go through four fighters in order to advance to the next stage. The opponent's energy bar increases as the player progresses through them. The final fight is presumably Johny from the movie. Daniel then starts the second level which is set in Okinawa. There he must dispatch random thugs who die in one hit while progressing to Chozen at the end of the stage. For every few enemies dispatched Daniel can collect small "C" and "D" symbols that allow him to use Crane Kicks and Drum Punches, respectively. They also replenish a small amount of Daniel's energy meter. There are also a few obvious and not-so-obvious entrances where Daniel can earn Drum Punches and Crane Kicks by either breaking ice-blocks, catching flies with chopsticks or dodging a swinging hammer.