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Sustained innovation has become an important guarantee for the development of China's small and medium-sized enterprises (SMEs) in the country's market economy, according to a Forbes survey.

 

The results of the survey are disclosed by the magazine's Chinese edition in a list of China's top 100 SMEs with great development potentials.

 

Beijing-based watchdata company ranked the top of the list prepared by the magazine in 2005.

 

Zhou Peng, editor in chief of Forbes Chinese, said the list not only showcases the current state of development of China's SMEs, but also analyzes the key factors of their development.

 

The magazine made the list through its survey of more than 8,000 small and medium-sized enterprises whose main business is in China's mainland and each with a yearly sales revenue of less than 650 million yuan (US$81.3 million).

 

The survey finds out that innovation is the most important drive for the healthy and rapid growth of the SMEs.

 

To many small and medium enterprises, innovation is the only way for their survival, Frobes said.

 

(Xinhua News Agency January 16, 2006)