She has magic power, but still the Egg Princess works for her. When the Egg Princess befriends Mr. Dough, she trys to kill him. She also likes to scare the princess by giving her an apple with a worm inside. You see, she enjoys schadenfreude.
In the short film, humans are portrayed by animals. The bones get grind to flour, which the witch uses to bake breads. Her favorite food seems to be eggs. The dark forest border on the kingdom of the Egg King.
Her name Baba Yaga is taken from Slavic mythologie. She is armed with a wand and stuffs used to bake and cook. This figure is also used as model for Yubaba.