This article mainly studies the relevant factors that affect the development of China’s tertiary industry, including external and internal aspects. For the internal factors, we choose the financial industry, tourism and education. And for the external factors, we selected factors such as the level of national economic development, urbanization, science and education, living standards of residents, degree of openness to the outside world, and labor in the tertiary industry. Based on the internal and external factors selected above, we explore the internal dynamics of the development of the tertiary industry in China and the external factors that influence the development of the tertiary industry. This paper selects data from the national level and the provincial level for the internal and external aspects. For internal factors, we selected national statistics from 1994 to 2015 at the national level. For external factors, we selected data from the National Bureau of Statistics from 1991 to 2009, and provincial data from the National Bureau of Statistics from 2004 to 2013. We have processed all data to eliminate the influence of price factors and dimensional factors, and applied multiple linear regression analysis methods to the data to establish a multiple linear regression equation. From the perspective of empirical analysis, we have obtained the specific effects of the above factors on the development of China’s tertiary industry, and confirmed that the above five external factors are important factors in the development of China’s tertiary industry, as well as the outstanding contribution of the financial and education industries to China’s tertiary industry. In the end, based on the analysis results, we obtained the degree of influence of various factors on the tertiary industry and made recommendations for the development of the tertiary industry in China in the future.