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Purpose International entrepreneurship involves the identification and exploration of the right market. As such, entrepreneurs are faced with challenges which determine their success in a foreign market. In this regard, this study tries to examine firms’ internationalization process from the view of psychic distance through opportunity exploration. Also, this study investigates the influence of government support between exploring overseas opportunities and internationalization. Design/Methodology/Approach To test our model, we used a structural equation model with 230 survey samples collected from venture companies in South Korea. The research model consists of seven constructs with interrelated causal paths which requires the performance of an explanatory factor analysis (EFA) and a confirmatory factor analysis (CFA). This study also uses a multiple group analysis to investigate the influence of government support on the relationship between opportunity exploration and a firm’s degree of internationalization. Findings This study identifies that business distance, language distance and institutional distance have a negative influence on Korean entrepreneurs who intend to explore opportunities in the foreign market. Moreover, the multi-group results show that between opportunity exploration and firm’s degree of internationalization, the level of government support has an important mediating effect. Research Implications The significance of this study lies in improving the body of knowledge about international entrepreneurship. This research contributes to international business studies by revealing how government support helps override the difficulties posed by psychic distance. For example, government support (e.g., tax incentives, direct subsidies and government policies) can assist entrepreneurs in coping with the barriers caused by business distance, language distance and institutional distance. Overall, the importance of the government support program towards entrepreneurship cannot be overemphasized since it shapes the entrepreneurial decision to enter foreign markets
