Combine needle and thread (found in the cabinet) with the teddy bear in your inventory to fix it.

After a cutscene where a monster invades, you must escape to the neighbor (House Spirit). Chapter 2: Step Into The Unknown (City & Forest)

Справочник. Полное прохождение Creepy Tale 2 [100%]

Use the fixed needle/thread to lower a mug into a jar.

Explore to find a pin, thread, lock, and claw.

Lars starts in his room. Inspect items near the window and under the table (find a mousetrap).

Talk to your sister (Ellie) to find a teddy bear, then get a key from her for the sewing cabinet.