I have to disagree with CuteTomato.
While his comments, mostly constructive criticism based on the adage "show, don't tell", might be germane for, say, a movie-type creation, the heart of this piece is the story, as is evident by the fact that it is told entirely through narration.
I feel the puppetry motion of the characters, their limited motions and the interest created by the change in point-of-view, (all hallmarks of flash animation, btw, which is what we usually see here) are a fine medium for the recording of a told tale, much akin to the engravings in the book of tales that the old man was toting.
All in all, I feel the imagery and the music beautifully enhanced the musicality of the rhymes and the poignancy of the story. The effect is enchanting. I can easily see this as one of those broadcast-quality artistic interludes shown on PBS or state TV back in my youth.
I look forward to your future works!