As a brand-new type of agricultural development, urban agriculture has gained its deserved attention in the world since the 1980s. With the irresistible trend of urbanization and serious urban-rural relationship, it theoretically is expected as a new concept and a route to create multi-function: economic, ecological, and social. In practice, however, the more important, but less discussed question is on how to make urban agriculture powerful and how to make it adaptable to the urban economic system. Empirical experiences tell that enterprise is the most effective form to organize and develop urban agricultural industry under the market economic system. It can organize the productive elements and balance the power and the interest among the stakeholders, such as the government, the farmer and other enterprises, all of which are playing crucial roles in the urban agricultural development. Based on the investigation of Mutual Benefit International Food Group Co. ,Ltd.(MBIF), this paper explores the mechanism and dynamics of the food processing oriented.urban agriculture enterprises.By aid of first-hand information and data, the discussion on the enterprise operation is expanded at three levels, from outside to the core. The outer mechanism discusses how the enterprise obtains the government and community support; the inner mechanism focuses on its production and management; the core mechanism is on the enterprise competitiveness formation by innovation and cultivating control power. Besides, the relationships among the above mechanisms are disclosed. According to the findings, the paper abstracts the development mechanism of food processing oriented urban agriculture enterprises as a"fish model". The paper further provides suggestive instructions on developing urban agriculture enterprises and makes amendatory measures on the existing problems. The authors finally come up with several key issues for the new but very promising industry, to strengthen the future urban agriculture development.