Collision objects are used to prevent Characters from clipping or falling through the set. Unless all of your Characters (including your Player) have their Ignore gravity? checkbox checked, you will need to place a Collider down to act as the floor. You can create a box-shaped Collider by choosing CollisionCube from the Scene Manager.

Next, lower it's position so that it's top face is level with the set's floor, and stretch it out such that it covers the entire span of the floor.

If your Characters are going to be moving on elevated surfaces, such as stairs, place additional CollisionCubes down for them as well.

When working with many Collision objects in a scene, it is easy to lose track of them, since only the currently-selected one is visible in the scene view. To change this, use the Visibility panel in the Scene Manager.

By clicking the "On" button next to Collision, you can view all objects at once. The same goes for Hotspots, Triggers, and NavMeshes.

Collision objects mark out areas that the Player and Cursor cannot go: the Cursor cannot "see" through a CollisionCube to detect Hotspots behind it, nor can the Player move through them. If you are making a game that isn't Point and Click, you will need to place down Colliders for all of your walls and obstacles, unless they have their own Colliders attached.

If you were recreating the Demo game's Basement scene for a Direct-control game, for example, you should arrange CollisionCubes like so:

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