The survival and development of company depend on innovation.  Innovation comprise of strategic innovation and management innovation. Enterprises must be changed with situation change, according to consumers habits, channel capacity and selectivity changes, force the enterprises to adapt competition, at the same time to make reaction at once.  The history tells us from former experience, only can adapt the fast changes, the enterprises can survival in such a competitive society; otherwise, only can be eliminated.

In the management, operators often confront with such a situation: whatever you are the new enterprise that want to enter the market or have a certain status, and attempt to expand business, all that need a new and effective approaches to the development of the advance of guiding the enterprises which are relying on strategic innovation.

Strategic innovation stands for a kind of capable. As the famous management Gary Hamel said, strategic innovation is capable which analytics and reconstruct allocation of existing resources in business and industry to create new value for customers and create new wealth for all shareholders. Strategic innovation is the only way to get succeed for new company confront with disadvantage and the same to existing firms.

Strategic innovation helps the company redefine the market goal. Organizations to determine the business objectives will determine how companies determine their own customers, competitors, competitive strength,  also determine to the opinions about critical successful factors, and ultimately deciding the competitive strategy,  successful strategic innovation will be adopted with different competitive strategies and business objectives of all the competition opponents completely.

For example, MBT shoes are distinguished from others, they are fitness shoes, good for health, and can meet customers’ requirements with fitness. They encourage perfect posture and gait, burn calories; reduce stress on knee and hip joints. They research and develop the new technology in advance about strategic innovation, so play an important part in fitness shoes.

Management innovation plays an important part in the development of new enterprises.

First, management innovation aims to improve enterprise efficiency of the allocation of limited resources.  But the efficiency can be taken on a lot of aspects. For example liquidity faster, reduce consumption of resources system, labor productivity, etc., at last, the effect will be reflected in economic indicators that is symbolize of enterprise profit.

Second, with management innovation, reduce the transaction cost as possible as it can. It is clearly proved that management and management innovation play an important role of improving enterprise efficiency to enterprise development.

Third, it supplies the more efficiency management ways, methods and means with management innovation. Management innovation keep the business with stability and strengthen the enterprise with many ways. Management hierarchy and effectively realize its coordination function, the level of the system itself becomes the persistence, the source of power and continue to grow. As the different unit has different business model, for work of individuals or groups exist the restrictions.

Fourth, the management innovation is used to marketing sale, will help enterprises expand the market competition. When the competition and marketing is planed by enterprises, will encounter many competitors as manufacturers and customers. If company has the specific plan, and defeat the rival party, this is can be called management innovation.