The story "Rudolph the Red-Nosed Reindeer" is set in the fictional world of Christmas Town, where Santa and his team of reindeer live. It is never specified exactly which year the story takes place in, but it is set in an era of old-fashioned values and traditions. The story follows Rudolph's journey from rejection to acceptance, culminating in his heroic act of guiding Santa's sleigh through the storm and saving Christmas. The story is not tied to any specific time period and can be enjoyed as a timeless tale of perseverance and acceptance.