Abstract:this paper empirically tests the micro matching data of China's urban business environment index and enterprise innovation. The results show that the urban business environment has a significant positive impact on enterprise innovation. After considering endogenous and other issues, it still proves that the conclusion is robust and reliable, the improvement of business environment can significantly promote R & D investment,this provides China's empirical evidence for the urban business environment and enterprise innovation theory.This article will provide important economic implications for promoting enterprise innovation driven high quality development. Through in-depth analysis of the impact of business environmental indicators on enterprise innovation, improve and shape a good urban business environment research, will effectively promote the high-quality development of enterprises.