What type of hotels are good for foreigners to live while travelling?

Hey i want to make a budget hotel to stay at Beijing for my 5 days tour. I found there are many websites to book hotels. Some have budget pricing. Is it ok to book those small hotels for saving some money on staying in hotel and spend more on travelling?
My question is mainly to know whether we can stay in thesmall hotels without any problems?
Any useful advices are appreciated.
Suggest me some sites for booking hotels too.