At the beginning of the film, the scene takes place in the Wild West with an action sequence, in which Mr. and Mrs. Potato Head (playing outlaws One-Eyed Bart and One-Eyed Betty) are committing a train robbery until Woody appears to stop the crime. Woody is knocked off the train by One-Eyed Betty when she hits him in the face with her purse, only to be caught by Jessie, riding on Bullseye. Then, Bart and Betty set off explosives that destroys a bridge and make their escape in their car driven by the Aliens.
Woody tries to save the orphans (Troll dolls) by applying the brakes on the train, but the train keeps going until it falls off the bridge, leaving Jessie to presume that Woody and the orphans have died, to her grief. Suddenly, the orphans and Woody are saved by Buzz Lightyear catching the whole train before disintegrating the One-Eyed's getaway car with his laser. This leads to a standoff between Woody, Buzz, and Jessie against the One-Eyed couple and the aliens, made more fierce when One-Eyed Bart summons Slinky Dog (playing the Attack Dog With a Built-In Force Field), to which Woody responds by summoning Rex (playing the Dinosaur Who Eats Force Field Dogs) with Jessie's yodeling.
Suddenly, Hamm (playing Evil Dr. Porkchop), flies into view in his airship and he picks up the One-Eyed couple and their associates and presses a button labeled "Death By Monkeys". A huge army of monkeys are released, and they quickly sworn and bring down Rex before capturing Woody, Buzz, and Jessie and holding them down so they can't escape. Just as One-Eyed Bart is about to press the "Death" button, the sequence ends and goes into Andy's room, revealing that it was all just an imagination of a child. Then, a series a home video clips of Andy is screened.
- According to directors' commentary, this scene was used as a nod to the spaghetti western Sergio Leone films (such as The Good, the Bad and the Ugly).