Mickey has 3 options:
He can either fight in the plank or bash him into the walls and pillars. Bashing him destroys him. Fighting in the plank sends him to the animatronic version of Tick Tock.
He can defeat Hook without help from Pete Pan.
If Mickey paints the stairs and attempts to free the Sprite, Hook will tell him to get down.
If he beats Hook and let the Sprite die forever, Pete Pan will be unable to fly.
If Mickey saves the Sprite, Pete Pan will battle Hook.
Good: Pete Pan fights Captain Hook, and Hook slays him and laughs. This is for saving the Sprite.
Bad: It's revealed if he is eaten by Tick Tock. This is for Bashing him into the pillars and walls or fighting in the plank. His hook sinks.