Technological Innovation Models of China's SMEs: Technological Factors, Innovation Process and Innovation Object

In the era of knowledge economy, one of the key factors to develop SMEs is technological innovation, yet mostly due to short of both capital and human resource, SMEs must encounter with various problems and difficulties when starting technological innovation. So in the paper, the author intends to provide SMEs a practical and theoretical model of technological innovation. After analysis to technological factors, process of innovation and innovation object, it becomes clear what a company shall innovate for, and how to carry out technological innovation, and who shall carry out the work. Therefore a both theoretical and practical model is brought out for SMEs so that their innovation activities may be well guided under the model.