Machi is a Kikwi, a Kiwi-based creature that inhabits Faron Woods (Skyward Sword) and serve as directional assistances. Kikwis are the first innocent creatures you discover when arriving on The Surface and are the first creature afraid of you instead of vice versa!
Machi will flee from you and can only be discovered again by using Dowsing. Because of Machi's direct contact with Zelda, you can pick up a faint scent on Machi as well. He will flee until you are able to scare him into stopping. He will then tell you the whereabouts of his elder.
Machi is a very timid creature, as are all Kikwis. Machi is first seen in its defensive position, kneeling on the ground with their back to the sky. Kikwi's backs are similar to patches of grass and serve as a way of concealing the Kikwi. Machi tends to be in this position in order to flee the numerous enemies that have recently invaded the Faron Woods (Skyward Sword).