Abstract: Aim In view of the present situation of insufficient technological innovation in China, to approach the way of strengthening innovation impetus and improving innovation ability.Methods The Hurwicz's economic mechanism theory, consisting of the economic environment, description of self interest action, predetermined social objectives and economic mechanism was used to analyze main factors affecting technological innovation including the incentive of property right, market incentive, incentive of government and society, self incentive of firms. Results and Conclusion A dual driven macro micro level running mechanism of promoting enterprise technological innovation, with the macro impetus given by the government and the micro level main role of technological innovation played by enterprises, was presented.