The dolphin decides to not eat the ship, it probably wouldn't taste too good anyways. Instead, he makes himself bigger, and he watches as the already tiny ship becomes smallr and smaller than him.
"Wow, I am getting bigger! I think I am already bigger than a blue whale! I love this feeling!"
The dolphin continues to grow until he becomes as big as the dog was, and then he swims off, causing massive waves that hit the tiny ship, capsizing it, and leaving many tiny people scattered around the surrounding waters. They all were eaten by small fish around the area.
The Dolphin dives underwater, and swallows up massive amounts of fish, including a few sharks. The dolphn eventually swims up to a Blue Whale, who looks like a normal fish compared to you. You surface, and see a tiny beach, and many tiny people stare at you in awe.