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An enchantress disguised as an old beggar woman offers a young earl a rose in exchange for a night's shelter, but he rejects the offer. For the prince's selfishness, she transforms him into a monstrous beast and his servants into household items. She gives him a magic mirror that enables him to view faraway events, along with the rose, which will bloom until his 21st birthday. He must love and be loved in return before the rose's petals have fallen off, or else he will remain a beast forever.
Years later, a beautiful young woman named Belle lives in a nearby French village with her father Maurice, an eccentric inventor. A bookworm, Belle dreams for a life beyond the village, where every morning is always the same. Her beauty and non-conformity attracts attention in the town and she is pursued by several men, especially the arrogant and musclebound Gaston, who is set on marrying her. Despite being sought after by single females and considered godlike in perfection by the male population of the town, Belle is uninterested in Gaston.
While traveling to a fair to present his wood-chopping machine accompanied by his horse Phillipe, Maurice gets lost in the woods. Chased by wolves, Maurice stumbles upon the Beast's castle, where he meets the transformed servants Lumière, a candelabra, Cogsworth, a clock, Mrs. Potts, a teapot, and her son Chip, a teacup. The Beast detains Maurice, but Belle is led back to the castle by Phillipe, and offers to take her father's place, to which the Beast accepts. While Gaston is sulking over his humiliation in the tavern after a failed proposal to Belle, Maurice tells him and the other villagers what happened but they think he has gone insane.
At the castle, the Beast orders Belle to dine with him, but she refuses, and Lumiere disobeys his order not to let her eat. After Cogsworth gives her a tour of the castle, she finds the rose in the forbidden West Wing and the Beast angrily chases her away. Attempting to flee the castle, Belle and Phillipe are attacked by wolves. The Beast comes to her aid and fights off the wolves. Belle nurses his wounds, and he begins to develop feelings for her. The Beast impresses Belle by giving her access to the castle's vast library and they grow closer as they spend more time together. Meanwhile, the spurned Gaston pays the warden of the town's insane asylum to have Maurice committed if Belle does not accept Gaston's marriage proposal.
Back at the castle, Belle and the Beast share a romantic evening together. Belle tells the Beast she misses her father, and he lets her use the magic mirror to see him. When Belle sees him dying in the woods in an attempt to rescue her, the Beast allows her to leave to rescue her father, giving her the mirror to remember him by. As he watches her leave, the Beast professes his love for Belle to Cogsworth.
Belle finds her father and takes him home. Gaston arrives to plot his plan, but Belle proves Maurice's sanity by showing them the Beast with the magic mirror. Realizing Belle has feelings for the Beast, Gaston arouses the mob's anger against the Beast, telling them that the Beast is a man-eating monster that must be killed, and leads them to the castle, in an attempt to kill his animal-like rival so to have Belle for himself. Gaston confines Belle and Maurice to their basement, but Chip, who had hidden himself in Belle's baggage, uses Maurice's wood-chopper to release them.
The servants force out the mob while Gaston sneaks away to confront the Beast. The Beast is initially too depressed to fight back, but he regains his will when he sees Belle returning to the castle with Maurice. After winning a heated battle, the Beast spares Gaston's life, ordering him to leave the castle and is about to reunite with Belle. However, Gaston, refusing to lose, stabs the Beast from behind, only to lose his balance and fall to his death.
When the Beast dies, Belle professes her love for him, breaking the spell as the rose's last petal falls. The Beast comes back to life, his human form restored. As he and Belle kiss, the castle and its inhabitants return to their previous states as well. Belle and the prince dance in the ballroom with her father and the humanized servants happily watching.