Escaping the Nightmare World

Two characters find themselves in a creepy abandoned factory being pursued by a serial killer. They stumble upon a children's nursery room attached to the factory and realize they need to take care of the babies there. They then proceed to escape through a spooky abandoned carnival and come across a shocking sight at their own house. Finally, they realize that they are trapped in a nightmare world and decide to face their fears by turning around and confronting the nightmare king.