Study On The Survivability Of Small Technology-based Firms

In recent years, small technology-based firms'activities have been eased the employment pressure in China, promoted the optimization of industrial structure, played an important role in high-tech industry, but according to the survey of "Blue book of development of Zhongguancun" for 1009 technology-based firms in Zhongguancunin in 2006,775 technology-based firms'age were less than 5 years, some firms which age less than 2 years accounted for 26.3%, and some firms which age between 3 and 5 years accounted for 50.5% of the total, the average age of technology-based firms in Zhongguancun were 3.7 years, this showed the low survivability of small technology-based firms in China. This paper attempts to analyze the source which caused the survivability of small technology-based firms by theoretical and empirical methods. This will greatly improve the survivability of small technology-based firms.This paper aims to explore the reasons which result in survivability, gives some countermeasures, reviewed the theoretical summary on the basis of studying previous research by collecting, accessing and organizing, detailed the theory of evolution, the product life cycle theory and the corporate life cycle theory, paved the way for the follow-up study. On the basis of defining the SMEs and scientific and technological enterprises by the Ministry of science and technology, this paper summarized the concept, characteristics and the survivability of small technology-based firms. The paper analyzed the index weight, provided the theoretical basis, pointed out the current status and the major problems of small technology-based firms, and proposed the strategy to increase the survivability of small technology-based firms.