The Study of Literature
It is not necessary to know about plot, character, setting, theme, and irony in order to read and enjoy fiction.  However, to understand why a book is good or how a writer has been effective, it can be helpful to analyze the components of the story.
Escape and Interpretive Literature:  an examination of different types of literature
Setting: an explanation of what setting is and how where and when a story takes place can affect the theme
Plot: an explanation of how the events in a story are arranged
Character: a look at who takes part in the story and how they affect the theme
Point of View: an examination of how the story can be affected by who tells the story
Theme: perhaps the most important component of a story - "What does the story tell us about life?"