Wwc ´final´ Reports: Quotes!
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Dementieva, who reached Grand Slam finals in last year's French and US Opens, scored her first victory since winning in Hasselt in Belgium.
Beating one of the biggest names in women's tennis will boost her confidence ahead of this month's Australian Open, the first Grand Slam tournament of the year.
"It's really a great start to the year no matter whether it's an exhibition or not. I was trying to play my best and I really did it," said Dementieva after her quick-fire win.
"Definitely, this will give me all the confidence before the Grand Slams. I was trying so hard to win this tournament. I am very happy about winning it."
Williams was expected to put up stiffer resistance having played some amazing tennis in winning her previous two matches.
She needed to reach deep into her arsenal of shots in defeating Russians Vera Zvonareva and US Open champion Svetlana Kuznetsova in come-from-behind victories to reach the final.
But she looked a shadow of herself as she practically gift-wrapped the match to Dementieva, committing a string of unforced errors for the Russian to win the 64-minute contest.
"I had some great matches, but I think, yeah, I didnt play too hot today," said Williams.
"She (Dementieva) played some nice points, but it was mostly me committing unforced errors, four or five errors in each game. It makes it pretty easy for your opponent to make it look good.
"I definitely wanted to end on a higher note in Hong Kong. I definitely had the opportunity to improve my game."
Williams was never able to dictate terms to her Russian opponent, failing to hold her opening serve and getting broken in the seventh and ninth games for Dementieva to win the first set easily.
Dementieva raced to a 4-1 lead in the second set with service breaks in the second and fourth game as Williams failed to lift her game. She overplayed her shots and continually put returns into the net as the Russian broke Williams again in the eighth game to eventually seal an easy win.
"I am just happy with the way I was playing today. I think it was one of the best tennis (matches) I have played in my career," said Dementieva.
"It was a very positive thing because I did a very good job in Moscow (where she trains). I hope to keep the same game for the Grand Slams.
"She (Venus) was trying to do everything possible to win the match. She never gives up, but I was trying to concentrate on the match. Because she's a great fighter, it's not easy to play against her. But she tried to do everything she could today to win."
Dementieva will now turn her attention on Australia, but she warned her form Down Under had not been encouraging.
"I don't think I have ever had a great Australian Open (campaign). I remember I was a qualifier once and I lost in the second round in another year. I think that was my best result.
"But this time I feel very confident. This win would help me for the two weeks (in Australia). I just hope to continue playing the same level as I was playing today as I couldn't have done much better."
"People said, we weren't going to make it because we were from the 'hood. … People didn't believe in us because of where we came from." Venus Williams.