Plot
On November 5, 1699, Lemuel Gulliver washes onto the beach of Lilliput after his ship is wrecked in a storm. Town crier Gabby stumbles across an unconscious Gulliver during his rounds ("All's Well") and rushes back to Lilliput to warn everyone about the "giant on the beach". Meanwhile, King Little of Lilliput and King Bombo of Blefuscu are signing a wedding contract between their children, Princess Glory of Lilliput and Prince David of Blefuscu, respectively. An argument erupts over which national anthem is to be played at the wedding; the anthem of Lilliput ("Faithful") or the anthem of Blefuscu ("Forever"). In fury, King Bombo cancels the wedding and declares war against Liliput. He seems to consider changing his mind, but then Gabby rushes in, and a guard pursuing Gabby accidentally grabs Bombo, who takes it as an insult and storms off.
Gabby tells King Little of the "giant", and leads a mob to the beach to capture him. There, the Lilliputians tie Gulliver to a wagon and convey him to the town. The next morning, Gulliver awakens and breaks himself free, terrifying the Lilliputians. The Blefuscuian fleet arrives at Lilliput and starts firing upon the castle. Seeing Gulliver laughing at him, Bombo panics and orders a hasty retreat. Realizing that they can use Gulliver as a weapon, the Lilliputians start to treat him with hospitality and even make him a new set of clothes ("It's a Hap-Hap-Happy Day").
Back in Blefuscu, King Bombo is embarrassed by the defeat, and orders his three spies in Lilliput - Sneak, Snoop and Snitch - to "get rid of that giant or else." Meanwhile, in celebration of the defeat, the Lilliputians treat Gulliver to dinner and a show ("Bluebirds in the Moonlight"). When the Lilliputians fall asleep after the show, Gulliver walks to the shore, unaware that the spies have taken his pistol, and reminisces about sailing ("I Hear A Dream (Come Home)"). The next day, after some horseplay with Gabby, Gulliver notices a building on fire and uses a nearby stream to put it out, not realizing he just saved the spies who wish to kill him. Later that night, Prince David sneaks back into Lilliput to visit Princess Glory. Gabby overhears the Prince singing a reprise of "Forever" and, mistaking him for a spy, orders the guards to attack the prince. Noticing this, Gulliver picks up David and Glory in his hands, and they tell him of the war's cause. Gulliver suggests that they combine "Faithful" and "Forever" into one song.
In Blefuscu, Bombo receives a message from his spies assuring him that Gulliver will be a "dead duck" whenever he gives the word, and he announces by carrier pigeon that he will attack at dawn. Gabby intercepts this message and warns the Lilliputians. Because of this, the spies aren't aware of the order until they capture Gabby just as the Lilliputians are marching to the beach ("We're All Together Now"). They hastily prepare Gulliver's pistol. As the Blefuscuian fleet approaches Lilliput, Gulliver demands they lay down their arms and settle matters peaceably. When they continue shooting arrows, he ties the Blefuscuian ships together using their anchors and draws them to shore, saving any men who fall overboard in the process to show he means no ill will. The spies aim and fire at Gulliver from a cliff, but Prince David diverts the shot, falling to his apparent death in the process. Using David's still body to illustrate his point, Gulliver scolds both Lilliput and Blefuscu for their senseless fighting. While they solemnize a truce, Gulliver reveals that David is unharmed, whereupon David and Glory sing their combined song for everyone to hear ("Faithful Forever"). Both sides thereafter build a new ship for Gulliver, and he sails off into the sunset ("Come Home Reprise").