Abstract
This article aims to assess the factors that affecting the relationship between innovation and performance of SMEs that has been subjected to by SMEs Innovation Fund 1999 and successfully passed the acceptance of funds to support SMEs innovation Hebei Province Data from 174 SMEs Hebei Province. The investigation of different properties and factors that inŽuence innovation and innovation performance di fferences ways of improving the performance of SMEs innovative combination of factors, for the government to develop more targeted support for business development innovation policy to provide decision-making. Proved of SMEs innovation activities limited to the domestic sphere, the main purpose is to improve quality, increase production and technical standards. The study found that technology-based SMEs in Hebei Province, mainly from external purchasing techniques; self-developed technology (hereinafter referred to as its own technology)enterprises' innovation performance is not good to buy technology; innovation strategy and business adapt to the competitive environment in which business, in general, better performance, they have a better adaptation to the environment and to determine the ability to independently research and innovation to adapt to the new market economy.
