This research aims to study how a resource-based learning environment (RBLE) helps primary students develop better understanding of the Earth's movement. One objective of the study is to establish an RBLE by creating authentic contexts, selecting appropriate resources, designing relevant tools and adopting necessary scaffolds. The other objective is to examine the effects of the RBLE on primary students' understanding of the Earth's movement in different classroom settings with varied teaching support levels. Research methodology includes pre-lesson and post-lesson tests to study students' understanding, observation and analysis of lessons to examine the teaching scaffolding employed, interviews and teacher's written reflection after all the lessons to investigate their views of the use of RBLE. The findings indicated that there is an interaction effect between students' academic background and settings of learning, and that the RBLE provides little support to students of low academic background, but is very effective to students of higher academic background helping them to construct an improved understanding of the Earth's movement. The article suggested an integrated use of teacher-regulated inquiry approach and interactive inquiry approach for the better use of the RBLE. [Copyright of Interactive Learning Environments is the property of Routledge. Full article may be available at the publisher's website: http://dx.doi.org/10.1080/10494820802393788]