Abstract:Innovation is the dynamic power of historical progress and the determining factor of the era development. The construction of the innovation-oriented country is the fundamental way to the great rejuvenation of the Chinese nation. The innovation-driven strategy is the critical force promoting national economy from the supply-side, and the essential way to construct the innovation-oriented nation and realize the “two goals of one hundred years”. The state innovation system is the important institutional guarantee of implementing the innovation-driven strategy and the main force of the innovative enterprises. The paper uses the innovating development progress of GE as the object of study, and carries out the the analyses on the evolution of its innovating-mechanism during its long-term sustainable development., the key factors of this mechanism and its operating principle and condition, and the relation among the development of innovative enterprise, industries and the whole economy and society. The study will provide great practical experiences and theoretical guidance to China for constructing innovative enterprises, implementing innovation-driven strategy and building favorable institutional environment for enterprises’ innovating development.