Before you start writing, think about the question this essay is asking you to answer. It's probably along the lines of how the setting of stories influences their themes or influences the effect the stories have on the readers. Go back to your reading and consider how you might answer this question. 

Then, to write your introductory paragraph, start with a hook that draws your reader in. You could start by asking a question or making a statement about the setting of stories, such as "How much does the location of a story help the reader learn more about the characters and plot?" Then, give a brief overview of the stories you've read, including the names of the stories, their authors, and their plot (in brief). At the end of the first paragraph, insert your thesis statement, which is what you are trying to prove about the setting of stories. The thesis should be an argument--something that you have to prove with quotes and examples from the stories.

For your outline, follow your teacher's instructions. The outline should include topic sentences, or what you are trying to prove in each paragraph. Your outline should also include the examples or quotes that you will use in each paragraph. For example, you may want to write three body paragraphs, each about a different story. For each story, write a topic sentence about how the setting of the story affects its characterization or theme (or whatever you are trying to prove), and then include relevant details from the stories that support your point. Your should also include a bibliography, meaning the sources that you use to write your paper. Check the citation format that your teacher wants you to use, and follow that format in your bibliography.