There's a couple of things you have to do before you can use the phone...first and foremost, the micro sim card used in the iPhone 4S will no longer work (fit) in the iPhone 5. There are ways to cut it down but I suggest purchasing a new nano sim card ne for the 8 or 10 bucks it costs.
To transfer information into the new iPhone, you need to do the following...(if not trasferring data from iCloud)
1) Log into iTunes and plug in the old iPhone 4S
2) On the summary tab, click 'backup now' button and information will start to download to your computer
3) once backup is complete, unplug 4S
4) turn on iPhone 5, complete the initial setup (language, country, WiFi setup, etc). When the prompt comes up, press 'backup from computer button)
5) plug iPhone 5 into computer with the new Lightning cable, and watch as the magic happens.
This will take a little bit to complete if you have a lot of apps, music, photos, videos, etc. but when it is done, the iPhone 5 will look just like the old iPhone 4S just a little bigger and a little more clear.
Hope this helps.