The plot centers around the House of Mouse being Snowed-In by a massive snowstorm, trapping Mickey and the gang inside. The assembled Disney characters are enjoying Christmas, primarily by watching cartoons on the big screen as usual, but Donald Duck is a humbug and remains in a grumpy mood. Mickey and the gang try to give him the Christmas spirit. Cartoons shown in the movie are all recycled from either the show's predecessor Mickey Mouse Works or classic theatrical release cartoons. These include:
- "Donald On Ice" (Mickey Mouse Works, 1999)
- "Pluto's Christmas Tree" (1952)
- "Mickey's Christmas Chaos" (Mickey Mouse Works, 2000; edited)
- "The Nutcracker" (Mickey Mouse Works, 1999)
- Mickey's Christmas Carol (1983)
Followed by Mickey's House of Villains, which very similarly combined recycled cartoons and new linking footage in a Halloween setting, while portions of the movie were reused in four later House of Mouse episodes, including its two proper Christmas episodes in 2002, "Clarabelle's Christmas List" and "Pete's Christmas Caper". House of Mouse episodes aside, Mickey & crew next celebrated the holidays in 2004's Mickey's Twice Upon a Christmas.
The movie provides examples of:
- All-Loving Hero: When Jiminy suggests he try wishing on a star, all Mickey wishes for is that everyone could have the Christmas spirit.
- An Ass-Kicking Christmas: In "The Nutcracker," Mickey (The Prince) fights Donald (the Mouse King) who kidnapped Minnie (Maria).
- Big Finale Crowd Song: "The Best Christmas Of All", sung by the whole House crew to end the movie.
- Blatant Lies: The narrator of "The Nutcracker" (John Cleese), trying to get Donald to play the Mouse King, tells him that the Mouse King wins. Later, he claims he was mistaken.
- Compilation Movie: The movie shows two short cartoons from Mickey Mouse Works ("Donald on Ice" and "The Nutcracker") and part of another, plus the classic short Pluto's Christmas Tree and 1983's Mickey's Christmas Carol. The "Mouse on the Street" segment, The Mad Hatter's ode to a hat, and the sequence where Disney characters say what they're thankful for were also recycled from or into actual House of Mouse episodes.
- Covers Always Lie: For some reason, the international DVD/VHS releases of the movie use a bit different cover art in which Mickey and his gang sport regular outfits and the House of Mouse setting was replaced with a generic house, which would make the movie look more like a generic Disney compilation rather than a special episode of a Disney series.
- A Crack in the Ice: Created by Donald's nephews in "Donald on Ice," after he wrecks their second snowman. It chases him across the ice, then across the snow and into the Abominable Snowman's cave.
- Defrosting Ice King: Donald starts off as grumpy and moody, but changes his mood when he puts the star on the tree.
- Demoted to Extra: Mortimer Mouse, a recurring antagonist on House of Mouse, is edited completely out of "Mickey's Christmas Chaos" and the "Mouse on the Street" segments recycled into this movie, despite serving as Mickey's neighbour/opponent in the former and the literal punchline of the latter. As such, he only appears in crowd shots.
- Even Evil Has Standards: Jafar of all people is unamused by Donald's hate for the Christmas season.
- Funny Background Event: During the final song, while most of the characters look utterly deadpan, we see Sheriff of Nottingham looking as though singing his heart out and having the time of his life.
- The Grinch: Donald is in this mood. The gang tries to change his mood, to no avail... until he gets the chance to put the star on the tree.
- Interactive Narrator: In "The Nutcracker," the characters talk back to the narrator. He even kicks out Ludwig Von Drake (as Grandpa Drosselmeyer) for breaking the nutcracker.
- Jerkass: Donald is openly grumpy and rude for no reason and refuses to partake in the festivities of Christmas and remains that way throughout the movie until the end.
- Jerk with a Heart of Gold: When Donald puts the star on the tree, he gains his Christmas spirit and is now in a happy mood.
- Matchlight Danger Revelation: Donald, in the Abominable Snowman's cave in "Donald on Ice." The snowman then blows out the match.
- Odd Reaction Out: Donald refuses to get into the Christmas spirit after several attempts to cheer him up, causing the audience to frown in disappointment... except Grumpy, who actually smiles.
- Screw This, I'm Outta Here:
- Donald refuses to play the Mouse King in "The Nutcracker" and starts to leave. The narrator gets him to stay by telling him that the Mouse King wins in the end. Which he doesn't.
- "The Nutcracker" ends with the narrator expressing annoyance over the various changes to the story, especially that last-minute twist of Drossermeyer being king of the sugar plum fairies. The narrator loudly declares he's leaving, and we then hear a door open, footsteps, and said door slamming shut.
- Snowed-In: The reason for everyone being trapped inside the House of Mouse.
- Snowlems: In the "Donald On Ice" segment, the crack in the ice chases him into the Abominable Snowman's cave, which is home to a Killer Snowlem.
- Throw the Dog a Bone: After Donald remains grumpy, Mickey feels like he failed and walks off dejected. Jiminy Cricket then appears to remind Mickey that Christmas is about being with friends and family, as well as point out that Donald is lucky to have such a good friend, even if he doesn't acknowledge it.
- The Unreveal: We're never given the reason for Donald's bad mood.
