Pallet Town is the town in Generation I where players begin their Pokémon journey in Kanto. It is a rather small town, and is home to only a couple of people. It also houses the Pokémon Lab and house of the Pokémon Professor of the Kanto region Prof. Oak. This is the place in the game where you start off in the Red, Blue, and Yellow games.
This region is also where Ash, of the anime, starts his adventure. He gets his first Pokemon from Professor Oak and goes off on his way. Gary, his rival, is also from Pallet Town. He and Ash represent their town on their journey.