Study On The Growth Of The Smes Based On Technical Innovation

China is one of many countries which have a lot of small and medium-sized in the world, SMEs accounted for more than 99% of total number of enterprises. As a new force of national economy and the most active component of socialist market economy, SMEs made a great contribution to the prosperity of a market economy, creating jobs, increasing revenue. But in reality, what we often see is that SMEs have to encounter business problems and even death. Statistics show that the average life of Chinese SMEs is only 2.9 years, nearly one million businesses are to go bankrupt in China every year, and growth problems make people worried. But facing at the same external market conditions, many SMEs could continue to develop with a strong vitality, one of the main reasons is technical innovation. As an efficient path of enhancing core competencies and achieving sustainable development, technical innovation plays crucial role in the process of the fundamental change in the economic growth mode. Through technical innovation, SMEs could display own superiority, further promote the sustained and rapid growth of China's economy. How to understand SMEs'growth mechanism based on the technical innovation, and how to systematically evaluate what degree the technical innovation affects enterprise growth, which have important practical significance for SMEs'sustained growth.The research about technical innovation and enterprise growth is a forerunning issue of theory of corporate management, but with regard to both research for the present, mostly concentrated in the impact of technical innovation on business growth, SMEs, As an important carrier of technical innovation the relative lack of the research about the relationship between its growth and technical innovation. Based on this, the paper combings related theories of technical innovation and enterprise growth, through the method of substantial evidence analysis, normal analysis, qualitative analysis and quantitative analysis, firstly explores the connotation of growth and the engine for SMEs'growth, structures SMEs'growth mechanism model based on the technical innovation. It establishes relative complete theory frame. Secondly, through analysis of drivers of business growth, the paper establishes a theoretical model for SMEs growth, and combines with the characterization of SMEs board, constructs growth evaluating index system of SMEs board based on the technical innovation. Finally, the paper selects 50 listed SMEs as the sample, using factor analysis of mathematical statistics, empirical analysis of the relationship between listed SMEs'growth and technical innovation, shows that there is a certain interval effect between the two. When technical innovation of listed SMEs is at a low level, there is a significant positive correlation between technical innovation and listed SMEs'growth. But when technical innovation has been enhanced, and has reached a certain level, growth will decline with the increase of technical innovation. That is to say, technical innovation does not influence SMEs'growth significantly on the examples examined, a positive correlation between technical innovation and listed SMEs'growth is tenable within a certain range.For SMEs, due to the limitations of their condition, Even with greater resources for technical innovation, achieving the desired objectives of technical innovation does not depend on the resource itself, but comprehensive capacities of enterprises. Only through the effective allocation of the resources for technical innovation, SMEs Sustained growth can be achieved. Nowadays,with increasingly fierce change in the external environment, coordinated development between technical innovation and SMEs'growth is very important.