Functions of technology innovation in transformation & development of private enterprise

Abstract

Technology innovation is the important factor about private enterprise's survival and development. To the private enterprise, the necessity of transformation firstly comes from its own developing requirements. Extensive developing mode which once played leading role in private enterprise hasn't been meet the requirements of economic development. On the other hand, this necessity also comes from market economy development which includes costs' raising, resources' restriction and the competition system of survival of the fittest. The last factor is that private enterprise's transformation is also caused by state industrial policies. Private enterprise's transformation not only has necessity, but also possibility. Since the Chinese reformation, private enterprises have had enough ability to realize economy development by means of technology innovation in the past thirty years' development. So, governments at all levels should pay attention to private enterprises' development by making power policies. © 2011 IEEE.