The introduction of a three dimensional scaffold providing the closest analogies to extracellular matrix (ECM) is currently a key strategy for tackling many challenges in tissue repair. Here, we present a new hybrid scaffold constructed by coating electrospun chitosan/polyethylene oxide (PEO) nanofibers on commercial BioTek polystyrene (PS) scaffold obtained from Sigma Aldrich. The viability and proliferation rate of mesenchymal stem cells (MSCs) seeded on micro-nano structured hybrid scaffold (MNHS) and commercial PS scaffolds were analyzed by MTT assay. The results of the MTT assay revealed a higher degree of viability and proliferation rate in MSCs seeded on MNHS compared with the commercial PS scaffold. DAPI images also confirmed the higher degree of attachment and viability of MSCs seeded on MNHS. Moreover, MSCs on both scaffolds differentiated to osteoblasts and adipocytes cells, as reflected by the images obtained from Alizarin Red and Oil Red-O staining. Alkaline phosphatase activity (ALP) and calcium content assays revealed that the MNHS has a higher potential for osteogenic differentiation than the commercial scaffold. To quantify the osteoblast and adipocyte gene expression, quantitative RT-PCR was carried out for MNHS, commercial scaffold and Tissue culture polystyrene (TCPS). It was found that MNHS can express a higher level of Runt-related transcription factor 2 (Runx2), osteonectin and osteocalcin in osteogenic differentiation as well as increased expression of PPAR gamma and UCP-1 in adipogenic differentiation. The enhancement of the attachment, viability and proliferation as well as bi-lineage differentiation may result from the biochemical and structural analogies of MNHS to native ECM. Furthermore, it was observed that biocompatible MNHS scaffold can potentially be utilized as a suitable scaffold for bone and connective tissue engineering.