Everything R-Chez said is 100% the way to go. Trust me, I ran mods on my 5.5HP Tec. a while back. I went to TSC, bought a 6" piece of muffler, cut it in 3rds, and put metal screening in between the sections to expand out the heat and reduce the flame before it empties from the exhaust. Yes, it was a little too short, but the flame did not exit the exhaust and it had a easier flow than the stock exhaust. Also, a quick clean job with a dremel on the intake, exhaust, and head made a huge difference. You don't even need to port unless you want to because when you clean it, it will make a hellluva difference. A nice carb cleaning every once in a while will keep your performance good. Also, a nice, platinum, 3-point spark plug is nice.
I got lucky with mine though. I found a honda coil that would fit mine. I guess it was a better quality coil so I put it on. Had to create a little bracket to mount it, but it did create a better spark, and well, I got it for free.
Just remember, the little things you don't even think of doing, they will give you a performance increase.
Now another thing, you can get eternal, you can buy valve springs for a honda and mount them in there, but you shouldn't. My brother tried, and his engine decide to shatter the end of the valve and put a hole in the valve cover. If you decide to try and swap out springs with other engines, it will take more than just springs. You need to upgrade to a heavy-duty valve before trying the springs.
Another thing to do is bore and sleeve the cylinder and through in a larger piston. This would require some machining, the new piston head, and maybe a con-rod. I would only do this if you really wanna have a high performance engine and you have the money.
In my opinion, I would not do anything eternal. I would keep to porting, polishing, exhaust, and a rejet. That is the much easier, much cheaper way to go, and any Do-It-Yourselfer can do it.