This is role-play. Role-play should not be confused with costume dress-up play.  Dress-up play is lovely but if your child wears Elsa from Frozen's costume, they are Elsa from Frozen and play out that story.  Developmental role-play is about deepening their understanding of how someone else thinks and feels. They will often take events from their own lives and play them out assuming the position of power i.e. they are the parent/teacher/boss/one-in-charge.

This is a dramatic stage of play so everything is big and over the top. So if you hear them playing out a teacher roaring at the teddies this is not your cue to race up to the school to see what is going on, be curious as this is more likely your child wondering how big and bad they could be if they were the ones in charge. This is also that stage where the row you thought you were having in private the night before is now played out verbatim with the child from next door in your living room. This stage of play allows your child to deepen their awareness of other people's roles and actions and points of view.