The study is a longitudinal and qualitative case study of a single industry. An emphasis on the importance of the technology innovation process can be extended to the relative explanations in the theories of the competitive advantage sources that companies create. Through an exploration of the optical component industry, the study discloses and suggests that during the process of establishment and growth, business organizations must consider how to build, execute and examine an effective innovation method in order to adjust strategic establishment activities, including opportunities identification, positioning of market and technology, resources allocation, and developments of market and technology opportunities, thus creating competitive advantages and values.