Through literature review, in-depth interview, questionnaire survey and statistical analysis, the research provides the incubator with development strategies in the future and the key factors for small and medium business to select the incubator. The research results indicating show that “Technology and Human Resource Support” is the first priority when small and medium businesses take into account of choosing an incubator. Dimension of “Technology and Human Resource Support” includes assists to obtain the government resources, providing specialized technical manpower, and technology transfer. Besides, “Promotion of Competitiveness” is the major purpose when small business look for the resources of an incubator. The key factors include promotion of competitiveness, time saving and acceleration of overall enterprise development, management enhancement, operation and productivity, and upgrading of commercial credit. And about the future strategies of incubators there are attracting small medium entering the incubator. Providing industrial information, fighting for subsidy measures, rent discount of facility and resources sharing, assistance offered to seek for the strategic partner and establishment of incubator network.