Upon boarding the ship, a frantic old man runs into you. His granddaughter is missing, and he asks for your help before running off. Luckily, there are only so many places where she could be on the ship. Before starting the search, check you your cabin at the west end of the hallway; it has a PC and a cozy bed to rest in, which is important to have with so many Trainers on board.
Two of the other cabins on the north side are empty, while the one between them has a Hiker. On the south side, only one cabin is unoccupied; the cabin near the stairs belongs to the old man, the next has a PokéFan and a pair of Twins, while the last has a Firebreather. No little girl to be found, so check out the lower deck.
A Sailor blocks the way, and asks that you track down another Sailor for their shift change. This Sailor is snoozing in the cabin next to yours; beat him in battle and he returns to his post. Further along, there is a Juggler hunched over a trash can, and a Sailor and a Picnicker beyond that. The western stairs lead to the Captain's cabin.
The little girl is with the Captain, safe but bored, and keeps trying to get him to play. Realizing that her grandfather is worried about her, she runs off and you both end up in the old man's cabin. For taking care of his granddaughter, he rewards you with a Metal Coat, a power-up for Steel-type attacks and an essential part of certaintrade evolutions. Just then, the Captain announces that the ship has docked in Vermilion Harbor, and passengers may now disembark.
Vermilion City has not changed much over the past three years, though the land around Diglett's Cave has shifted a bit. A sleeping Snorlax blocks the path to the east, and the old man is still clearing the ground for construction with his Machop. Stop by the Poké Mart if you need more Potions or Poké Balls, then visit the Pokémon Fan Club on the west side.
Listen to the Chairman's long story about his prized Rapidash, and he gives you a Rare Candy for sticking around through the whole thing. Take note of the guy with the Clefairy; it is actually a Poké Doll that will need to be return to its owner later.
VERMILION CITY POKéMON GYM LEADER: LT. SURGE
The Lightning American!
The Vermilion Gym specializes in Electric-type Pokémon, so avoid using Water or Flying Pokémon. Conversely, Ground Pokémon are not only immune to electrical attacks, but their Ground-type attacks inflict serious damage on Electric Pokémon.
Defeated, Lt. Surge awards you the Thunder Badge, which gives your party members a Speed boost during battle. That's all, though; unlike the Johto Gym Leaders, only two of their Kanto counterparts give out TMs.
With Snorlax blocking the east road, the only way forward is north to Route 6.