Since　firms　are　the　entities　of　technological　innovation　and　basic　research　is　the　source　of　technological　innovation,encouraging　firms　to　conduct　basic　research　has　gained　increasing　attention.Using　Huawei　Technologies　as　a　case　study,this　study　employs　a　vector　autoregressive(VAR)model　and　relevant　data　of　the　target　firm　from　2000　to　2019　to　investigate　the　relationships　between　basic　research,technological　innovation,and　firm　performance.According　to　the　findings,basic　research　has　a　positive　effect　on　technological　innovation　but　has　a　significant　lag;technological　innovation　has　a　positive　effect　on　firm　performance　and　shows　significant　periodicity;while　basic　research　has　a　positive　effect　on　firm　performance　and　a　procedural　nature.On　this　basis,we　put　forward　some　enlightening　suggestions　for　firms　to　carry　out　basic　research.