Using the in‐group lens of social identity, we study how difference in in‐group identity can lead to difference in sustainable entrepreneurship among international immigrants and their native counterparts. We also test how different dimensions of collectivism, that is, the institutional collectivism (IC) and in‐group collectivism (GC), can influence differently the relationship between in‐group identity and sustainable entrepreneurship. The results of our data analyses demonstrate a significant relationship between the in‐group identity and sustainable entrepreneurship, particularly green participation, at the societal level. Also, IC and GC moderate the relationship between the social identity and sustainable entrepreneurship. Finally, IC and GC also moderate the relationship between sustainable entrepreneurship and related satisfaction, although the directions of the moderating effects are different. Implications for future research and managerial practice are discussed at the end of this article.