With the change of external environment, the competition among enterprises is becoming more and more fierce, and many small and medium-sized enterprises are caught in the predicament of survival and development, and some are even ruthlessly eliminated by the market. The following is an exploration paper on the innovation and development of small and medium-sized enterprises, which I compiled for you. I hope it will help you.

Paying attention to innovation is an inevitable choice to ensure the survival and development of small and medium-sized enterprises Compared with large enterprises, small and medium-sized enterprises have comparative advantages in innovation, such as flexible management system, high degree of production specialization, and easy to stimulate adventurous entrepreneurial impulses. Therefore, we believe that product innovation, market innovation and management innovation are three areas that SMEs should focus on. According to different fields, innovative strategies suitable for the characteristics of small and medium-sized enterprises can be adopted.

Keywords: SME innovation strategy

Since the reform and opening up, small and medium-sized enterprises, mainly township enterprises, have developed rapidly and become an important force to promote the development of the national economy. However, with the change of external environment, the competition among enterprises is becoming more and more fierce, and many small and medium-sized enterprises are caught in the predicament of survival and development, and some are even ruthlessly eliminated by the market. Faced with increasingly severe challenges, if small and medium-sized enterprises want to get rid of the competitive pressure brought by the same type of enterprises and gain competitive advantages that can compete with large enterprises, they must combine social needs with the existing capabilities of enterprises according to their own characteristics and choose innovative directions and development strategies suitable for their own characteristics in order to survive and develop in the fierce market competition.

Generally speaking, enterprises can innovate in many fields in business processes. According to Joseph, a famous economist at Harvard University? Schumpeter's point of view, enterprise? Innovation? The concept includes the following five aspects: first, adopting new products or new features of products; The second is to adopt new production methods; The third is to open up new markets; The fourth is to obtain new sources of raw materials or semi-finished products; The fifth is to implement a new form of enterprise organization.

Although Schumpeter's concept of innovation comprehensively summarizes the innovation at all levels of enterprise management, considering that compared with large enterprises, small and medium-sized enterprises have comparative advantages in innovation, such as flexible management system, high degree of production specialization, and easy to stimulate entrepreneurs' impulse to take risks, we believe that product innovation, market innovation and management innovation are three areas that small and medium-sized enterprises should focus on. According to different fields, innovative strategies suitable for the characteristics of small and medium-sized enterprises can be adopted.

First, product innovation.

Small and medium-sized enterprises should learn to use it when carrying out product innovation activities? Overall product? Guide the development work. Generally speaking, the overall concept of modern products includes three levels: first, core products refer to the basic benefits that customers get from the use or consumption of products, such as buying home computers to process all kinds of information; Second, formal products refer to the specific forms of core products, such as the quality, function, style, packaging and brand of computers; Third, extended products refer to the additional services that customers get after purchasing products, such as providing installation, instruction, maintenance and software knowledge training for computer users.

The product innovation of small and medium-sized enterprises can generally start from improving the formal product level, including improving product quality, increasing product functions, designing new styles and packaging, and adopting new brands. In addition, because small and medium-sized enterprises have the characteristics of quick response and action, when developing new products, we must pay special attention to doing more innovative work in extending products, such as providing new maintenance projects, adopting new payment methods and conducting new training and guidance, so as to highlight our comparative advantage in the competition with large enterprises.

Second, market innovation.

There are generally two ways for SMEs to innovate in the market. First of all, we should make good use of the existing market gap. The basic idea of this kind of market innovation is that there will always be some business gaps that large enterprises can't reach in any market, and small and medium-sized enterprises can enter these humble market gaps in time by virtue of their small scale, flexibility and strong adaptability. For example, some product users have special requirements, and large enterprises are generally unwilling to produce because of trouble; Some products are in small batches, and large enterprises may give up voluntarily. This part of the market is a new market that small and medium-sized enterprises should occupy in time.

Secondly, we should be good at finding potential market demand through market segmentation. The so-called potential demand refers to the hidden market demand that the existing products or services cannot meet. According to the differences of consumers in gender, age, income level and psychological personality, the whole market of a product can be subdivided into several consumer groups, and many potential market demands can be found. For example, the Japanese chewing gum market was once monopolized by a big company, and the sales focus was on children; Another small company found that the demand for chewing gum for adults was expanding through market segmentation, so it immediately decided to produce chewing gum specifically for adults and quickly won 25% market share.

Third, management innovation.

The so-called management innovation is to update ideas in time, abandon the old management model, create or introduce new management models and their corresponding methods. At present, the biggest problem faced by small and medium-sized enterprises in management is the neglect of strategic management, that is, the lack of overall, dynamic and systematic management As a result, there are two common commercial disadvantages: either muddling along or holding back, making enterprises lose business opportunities; Either be eager for quick success and instant benefit, rush headlong into action, and waste valuable commercial resources.

In order to eliminate the above phenomenon, small and medium-sized enterprises must attach importance to the introduction of strategic management mode and focus on future opportunity management. This is because we are in the era of information revolution and global economic integration, and the original industry is undergoing profound changes, which will change the existing product structure, service structure and industrial structure, and change our way of life and work. In all these changes, there are plenty of market opportunities. The so-called opportunity management is to pay attention to the prediction of future market trends on the basis of fully understanding relevant market information, and according to these prediction results, first enter new markets that have not attracted the attention of others. In a sense, seizing the opportunity management is to seize the source of innovation of small and medium-sized enterprises.

Because most small and medium-sized enterprises have been established for a short time, have a poor family background and are enterprising, and do not have as many old traditions and inertia as large enterprises, they are more likely to accept new information from the outside world under the pressure of competition, seize all fleeting development opportunities decisively, and dare to bear all kinds of risks brought about by innovation failure. The innovation impulse and market opening spirit inspired by this are unmatched by large enterprises in innovation.

References:

[1] (America) j? Translated by Schumpeter and He Wei. Theory of economic development [m]. Beijing Commercial Press, 2000.

[2] Sun. Strategic choice for the further development of Chinese township enterprises [j]. Research on Socialism, 200 1, 2

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