When he doesn't Miyagi frees Johnny himself. Kreese furiously tries to punch Miyagi, who easily dodges the blow.
Kreese's fist breaks a car window. When he tries to hit Miyagi again, he breaks another car window when Miyagi sidesteps again. Miyagi forces Kreese to his knees and prepares to deliver a seemingly deadly strike to Kreese, growling Kreese' own words about showing an enemy no mercy. He gives a huge yell but stops short of landing the blow and instead honks Kreese's nose and drops him to the ground.
Miyagi explains to Daniel that Kreese will have to live with the shame of being publicly humiliated, which is far worse than death. Six months later an angry Daniel arrives at Miyagi's house. The car that Miyagi gave him, a 1948 Ford Super De Luxe, is having mechanical trouble and Daniel, dressed in a tuxedo, is talking angrily about how badly his prom went: his girlfriend, Ali, had borrowed his car and had caused the mechanical trouble. Daniel also grouses about how Ali has found a new boyfriend. To make matters worse, Daniel tells Miyagi that his mother has accepted a temporary transfer to Fresno for the summer and Daniel will have to go with her. Miyagi quickly fixes Daniel's car and takes him to the back of his house where he seems to be constructing a new room.
He persuades Daniel to calm down and focus with his breathing technique and shows Daniel how to drive nails with a single shot. Daniel soon feels better and asks Miyagi what the addition to the house is for. Miyagi tells Daniel that the room is for a 'refugee' from Fresno -- he'd talked to Daniel's mother, who'd agreed to let Daniel stay in Los Angeles with Miyagi for the summer.
A few minutes later, the mail carrier shows up and gives Miyagi an overseas letter. The letter is from Miyagi's former girlfriend in Okinawa -- Miyagi's father is dying. Miyagi has to travel to Okinawa to see his father before he dies. Miyagi also tells Daniel more of the story about his leaving Okinawa: he'd fallen in love with a young woman named Yukie who was betrothed to his best friend, Sato. Miyagi talks about how he was young and foolish and had told the entire village that he was going to marry Yukie despite her parents wishes. Sato, whose karate teacher was also Miyagi's father, challenged his friend to a duel to the death.
Miyagi chose to leave rather than fight his best friend. When he's about to board his plane, Daniel suddenly shows up, having persuaded his mother to accompany Miyagi on the trip. Miyagi is reluctant and Daniel tells him he'd used his savings to buy the ticket. Miyagi agrees and they both fly to Okinawa. On the plane Daniel studies a book on Okinawan history and is strangely unable to locate Miyagi's village on the map. When they arrive they are met by a young man a few years older than Daniel, Chozen, who has a car waiting for them.