This achievement is pretty straightforward, when you enter the game, you'll be put in "episode select" where you should select "The Phantom Menace." After completing all 5 levels in this episode, you will recieve this achievement. It doesn't matter if you skip the cutscenes or not, you just need to finish the story.
There is a very good walkthrough by Packattack04082 that demonstrates how to beat this entire episode, in case you get stuck: