This paper aims at reviewing narrative theories and approaches in an effort to determine their potential as suitable for computational implementation within the Shimpai Muyou! project. Current narrative models used within the AI community prove to be problematic regarding their applicability to an interactive virtual environment. We believe that the production of VR drama requires the adaptation and extension of existing dramatic tools, structures, methods and the appropriation of artificial intelligence techniques. Therefore, we look into an alternative mechanism to narrative creation in a pedagogical context where the story emerges from the interactions between the characters who are autonomous, in a Virtual Environment, and the learner. Based on procedural view of narrative, a special agent, named Drama Manager is presented. This agent has the function of arranging the episode in such a manner which generates a coherent unscripted story. A narrative forms where, interactivity as well as user satisfaction, constitute a basis for the construction and unfolding of a narrative, flexible enough in its articulation, to bring maximum satisfaction to the user.