The game takes place 20 years after the events of "Shining Force", and is in effect a "story sequel" to it. The story continues the history of Guardiana and centers on a new threat to the nation. Anri, Ken, Lug (called "Luke" in "Shining Force" and its "Resurrection of the Dark Dragon" remake), and Lowe, who were playable characters in "Shining Force", are all major characters, and one of them briefly serves as a playable character. Domingo, another "Shining Force" playable character, appears as a hidden character in this game. The initial party members include the sons of Lug, Ken, and Hans, the sister of Tao, and the nephew of Gong.