Have you seen this page:
www.joomlaworks.net/content/view/35/41/
. Depending on what type of video you would like to embed you follow the appropriate tag.
Now you set inside the plugin's parameters the local path (if you want to load from a site's folder, for instance images/stories/folder name) for the videos and audio as well as all other parameters for dimensions of the player, background color, etc.
After you save the parameters you go and create an article and put inside that the appropriate video tag. Then you go and create a link to that article and you will see the video loading to that page.
I hope I helped you sort it out :)