Might and Magic III employs an updated first person perspective interface based on the one employed by Might and Magic: The Secret of the Inner Sanctum and Might and Magic II: Gates to Another World.
The player can save the game state at almost any time, with the notable exceptions of the Arena and Castle Greywind Dungeon, at which the player cannot store game state. In previous games, saving was accomplished by visiting an inn and signing the registry. Saving the game also records that enemy creatures have been killed; in previous games traveling to a level from an inn fully populates the former with monsters every time.
Throughout the game, the adventurers travel the Isles of Terra, a grouping of separate, flat "nacelle" worlds drawn from the Void onto the oceanic planet of Terra by Sheltem himself in previous years.