A Study On The Government's Supporting Mechanism Of Small Business

Technology innovation of foreign small business mainly derives its motivation from two sources: small business itself and the government, who plays an important role in guiding and supporting. Currently, as China confronts with the problem caused by lacking of creativity, Chinese small business also runs into the same dilemma. In order to improve the National Innovation System, construct an effective, intact supporting mechanism has became a novel, controversial issue.On the basic of consulting abundant data, the positive analyses are laid stress on the dissertation combining historic and practical perspective. Considering the background of "Knowledge Economy"; inspired by the analyses based on cases of our government's small business supporting policy as well as foreign experiences, this article runs a systematical research on the importance of the supporting mechanism the factors that cause its deficiency and possible solutions, focus on the balance of technology innovation and government's policy.In the light of the "Enterprise Lifecycle System Theory" and other modern economy theories, this research brings forward the idea of materializing the government's impact in supporting small business by the approach of intensifying the economical role of the government, aiming at providing an impartial atmosphere. Based on the case of Wenzhou, by enhancing creativity and justice, we put forward an analyze model including the factors of the government, enterprises, universities etc, dealing with the construction of an efficient supporting mechanism for small business, especially on the aspects of policy and capital.