"I define story as a narrative of events (external or psychological) which moves through time or implies the passage of time, and which involves change.
I define plot as a form of story which uses action as its mode usually in the form of conflict, and which closely and intricately connects one act to another, usually through a causal chain, ending in a climax.
Climax is one kind of pleasure; plot is one kind of story. A strong, shapely plot is a pleasure in itself. It can be reused generation after generation. It provides an armature for narrative that beginning writers may find invaluable.
But most serious modern fictions can’t be reduced to a plot, or retold without fatal loss except in their own words. The story is not in the plot but in the telling. It is the telling that moves.
Modernist manuals of writing often conflate story with conflict. This reductionism reflects a culture that inflates aggression and competition while cultivating ignorance of other behavioral options. No narrative of any complexity can be built on or reduced to a single element. Conflict is one kind of behavior. There are others, equally important in any human life, such as relating, finding, losing, bearing, discovering, parting, changing.
Change is the universal aspect of all these sources of story. Story is something moving, something happening, something or somebody changing.
We don’t have to have the rigid structure of a plot to tell a story, but we do need a focus. What is it about? Who is it about? This focus, explicit or implicit, is the center to which all the events, characters, sayings, doings of the story originally or finally refer. It may be or may not be a simple or a single thing or person or idea. We may not be able to define it. If it’s a complex subject it probably can’t be expressed in any words at all except all the words of the story. But it is there.
And a story equally needs what Jill Paton Walsh calls a trajectory — not necessarily an outline or synopsis to follow, but a movement to follow: the shape of a movement, whether it be straight ahead or roundabout or recurrent or eccentric, a movement which never ceases, from which no passage departs entirely or for long, and to which all passages contribute in some way. This trajectory is the shape of the story as a whole. It moves always to its end, and its end is implied in its beginning.Crowding and leaping have to do with the focus and the trajectory. Everything that is crowded in to enrich the story sensually, intellectually, emotionally, should be in focus — part of the central focus of the story. And every leap should be along the trajectory, following the shape and movement of the whole."
Ursula K. Le Guin ( from 'Steering the Craft')