Military Madness (released as Nectaris in Japan) is a futuristic turn-based strategy war game. The year is 2089 and the setting is Earth’s moon, which yields many important resources. While the governments of Earth bicker over their staked claims on the moon, the evil Axis Empire launches a lunar military campaign and takes over the moon, using its factories to produce advanced weaponry, the most devastating of which is the SAM (Supreme Atomic Missile). As commander of the Allied forces, it is the player’s responsibility to lead what’s left of the Allied armies in a desperate offensive against the Axis Empire on the lunar surface before they can use the SAM to destroy Earth.

Space on Earth has become limited, and mankind has looked to colonize the moon. A group known as the Axis Powers has seized control over most of the lunar surface, and it's up to you as a member of the Allied Powers to fight against them. As you move around the map (shown in a top-down 2D perspective), enemy combatants will try and stop you from achieving your goal. Once encountered, the screen shifts view points to a close-up view of the skirmish at hand.