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To change the region code on your PSP, you need to go to NANO options, then ID Storage tools, then Change region. You will have 3 options: Europe, Japan, and America. Then you will be prompted: "Do you want to continue?" click "Yes" Good luck!
Short answer...yes, would you like to invest what would likely be days learning the process? There may be a mod ship out there somewhere, but unless you are willing to modify the PS3 in someway that would likely void any warranties, then you're going to have to find a DVD for your region. A mod without a chip would involve installing linux in addition to the OS that the playstation comes with. I'm sure the process has gotten easier since I last checked, but I found it too painstaking.
I have one in the uk, some blue ray discs are region encoded (some work some don't). Uk DVD's don't work and neither do old uk playstation 1 or 2 games. However all PS3 games are region free and work fine.