The research focuses on innovative behavior and entrepreneurial capabilities in the context of literature awareness, creativity, novel approaches to problems, and adaptability in learning, laying the foundation for enhancing students' levels of innovation and entrepreneurship. These areas deepen the cultivation of students' innovative behavior and entrepreneurial abilities, improving the efficiency of their career development. The study has positively impacted the employment performance of students in relevant universities in Hubei Province, China, providing teaching support to help students develop innovative behavior and entrepreneurial skills. A random sample of 313 students was selected for the study, and data were analyzed through descriptive correlation design using the social science statistical software SPSS. The results indicated that the respondents were predominantly aged between 20-30 years (97.8%), with a majority being female (63.3%), and mainly sophomore students (44.1%). The scores for literature awareness (3.32), creativity (3.24), novel approaches to problems (3.24), adaptability in learning (3.21), model construction (3.22), industry component trends (3.26), profitability analysis (3.24), and experimentation with new ideas (3.25) were observed. The research concludes that elevating the levels of innovation and entrepreneurial capabilities among university students effectively promotes the enhancement of their innovative employment skills, including literature awareness, creativity, novel approaches to problems, and adaptability in learning. Ultimately, this strengthens the overall employability performance of university students. To facilitate the development of students' participation in class, innovative thinking, and entrepreneurial abilities, teachers need to implement relevant measures. For instance, adopting diverse assessment methods, integrating interdisciplinary comprehensive cultivation in teaching, and creating an environment encouraging expression and challenge can contribute to nurturing students' innovation and entrepreneurial skills, broadening their perspectives, and shaping them into confident and adaptable thinkers.