The development of new business forms in rural villages can invigorate their economic growth and has proven to be one of the most important strategies for rural revitalization. The traditional villages of volcano area in northern Hainan province boast a long history, abundant natural resources, wide geophysical distributions and cultural diversity. However, the development of traditional villages has historically been handicapped, consistent with their simple-industry economy, lack of diversification of business forms and difficulty in income growth for the villagers. In the context of Hainan's rural revitalization, international tourism island construct and pilot of free trade zone, the traditional villages of volcano area are faced with new opportunities of in-depth agricultural and industrial development and integration. This research uses Meixiao village in Haikou as a case study, where a qualitative research approach of the Grounded Theory and a semi-structured interview were adopted for collecting data on public will and opinions on the development of new business forms. Subsequently, it establishes a framework for the model of new business forms development in Meixiao village, and proposes tailored business types that consider the aspirations of the villages. This research aims to help provide a reference and guide for the socio-economic transformation and new forms of Meixiao village, and for the development of new business forms for the traditional villages in Northern Hainan in general.