Single crystalline and nearly monodisperse In2O3 nanocrystals with both dot and flower shapes were synthesized in a simple reaction system. This system used indium carboxylates as the precursors with or without alcohol as the activating reagents in a hydrocarbon solvent under elevated temperatures. Limited ligand protection (LLP) led to three-dimensional (3D) oriented attachment of nanodots, resulting in 3D nanoflowers. When the system had sufficient ligand protection for the nanocrystals, nanodots were found to be the stable products. The diameters of nearly monodisperse nanodots and nanoflowers were varied in a range from similar to 5 to similar to 15 nm and similar to 15 to similar to 60 nm, respectively. The simple reaction system made it possible to have a systematic study of the reaction mechanisms along with the growth kinetics of nanocrystals. Hydrolysis and alcoholysis were identified as the major paths for this system, as opposed to pyrolysis. Both nearly monodispersed nanodots and nanoflowers can be made through either of the reaction pathways. Hydrolysis was found as a reversible pathway, and alcoholysis was confirmed to be irreversible. Consequently, a sufficient amount of alcohol was able to force the yield of nanocrystals, both dots and flowers, to unity.