The first government of Venizelos was formed after the overwhelming victory of his Liberal party in the elections of November 1910. This inaugurated a period of recovery and reform for the country.

He proceeded, supported by young bourgeois intellectuals, to a programme of economic and political modernization, which included a series of institutional and legislative reforms that lay the foundations for the 'Rule of the Law' and contributed to the transformation of Greek society according to western models.
Venizelos became one of the most important Greek statesmen and a symbol of a whole era, consistently leading the country towards economic and political modernization and the militant materialization of the Great Idea.

Venizelos's government reinstated Crown Prince Constantine to a high position in the army despite the opposite claims of the coup politicians, restoring in this way his relations with the palace, already improved by the fact that he had opposed the constitutional issue that the new progressive politicians elected in August 1910 wanted to put forward. He also reinstated royalist officers, and removed some of the participants in the coup.

The Second Revisionary Assembly opened in January 1911. It legalized the Constitution of 1911, which was a revision of that of 1864. With this new Constitution and the ensuing legislation, Venizelos managed to lay the foundations of a modern state.

The modernization of the state administration and the reinforcement of the military were approached systematically. French and British forces were summoned to reform the army and the navy respectively. Care was taken in justice and state education. Measures were taken to improve the national economy, and agriculture in particular. A strict protectinism was adopted for the promotion of Greece's rudimentary industry, while at the same time the expansion of markets following the territorial expansion after the Balkan wars and the overall international conjunction of circumstances reinforced the tendency of capitalists for investment in industrial activities. Technical organizations, manned by trained engineers and other technical staff, undertook action and planning in various sectors.

All this activity definitively dispersed the sense of defeatism and disillusionment that plagued the country ever since the defeat and created a climate of optimism and self-confidence. Generally, despite the parallel military venture in which the country became entangled, the period 1910-20 was one of evolution, during which Greece acquired the features of a modern state.