Setting is not just a location for characters to interact. It should be relevant to the story and/or scene.
Setting affects how a story progresses. Location can be a hindrance to or facilitate story progression. Consider how the chosen scene can be interacted with by the characters, how it might change actions or decisions, or how it affects the characters in the moment.
Setting affects a character’s worldview and mindset. When, where, and how we grow up shapes us. If a scene momentary, this may not apply, but a scene that is used multiple times or is a main feature of the story should have some kind of impact on how the character sees the world, themselves, and others as well as how they think and make decisions.
Setting establishes the atmosphere of scenes and affects reader perception of events. A guy on the street waving at a character standing in her bedroom will be perceived very differently depending on whether it’s a nice sunny day in summer or it’s a stormy, rainy night where no one should be out and about at midnight.
Setting affects characters’ choices and actions depending on how it impacts the scene or story
Setting can act as a character, either an antagonist or protagonist in some situations like survival stories or when the weather, climate, or location significantly impact how the story progresses and the character develops.
There are two main types of setting: backdrop and integral
Backdrop settings are not terribly important to the story most of the time. These are incidental settings chosen because a scene needs to take place somewhere rather than out in the ether. These types of scenes could take place anywhere without changing the dynamic or meaning, such as hallways, cafes, sidewalks, etc. These normally need minimal description or attention.
Integral settings are settings where time and place influence the theme, character, and action of a story in some way. The story and characters would be different if the setting were changed. For example, Animal Farm wouldn’t be the same if set in a shoe store. These settings need more in-depth description and development to integrate them into the story and character experience fully. These types of settings are usually recurring settings or settings used for important scenes in the story.