This work studies the influence of microstructures and crystalline defects on the superconductivity of MgB 2 , with the objective to improve its flux pinning. A MgB 2 sample pellet that was hot isostatic pressed (HIPed) was found to have significantly increased critical current density (J c ) at high fields than its un-HIPed counterpart. The HIPed sample had a J c of 10000 A/cm 2 in 50000 Oe (5 T) at 5K. This was 20 times higher than that of the un-HIPed sample, and the same as the best J c reported by other research groups. Microstructures observed in scanning and transmission electron microscopy indicate that the HIP process eliminated porosity present in the MgB 2 pellet resulting in an improved intergrain connectivity. Such improvement in intergrain connectivity was believed to prevent the steep J c drop with magnetic field H that occurred in the un-HIPed MgB 2 pellet at H > 45000 Oe (4.5 T) and T = 5 K. The HIP process was also found to disperse the MgO that existed at the grain boundaries of the un-HIPed MgB 2 pellet and to generate more dislocations in the HIPed the pellets. These dispersed MgO particles and dislocations improved flux pinning also at H<45000 Oe. The HIPing process was also found to lower the resistivity at room temperature.74.70. Ad, 74.60.Ge, 74.62.Bf, 74.25.Fy 1