Abstract Under the background of new economy, enterprises must constantly integrate capital and organizational character, which are two most important strategic resources, to cultivate core competitiveness for longterm development, so as to build and improve their competitive advantage. From perspectives of knowledge capital and organizational character, this paper constructs a conceptual framework of forming paths of core competitiveness and competitive advantage, by introducing technological innovation ability and business model innovation ability as mediation variables. Furthermore, an empirical analysis is carried by using SEM method based on 370 copies of questionnaire data. Results show that knowledge capital has direct positive effect on the formation of core competence and competitive advantage, and also has indirect effect mediated by technological innovation and business model innovation ability; organization character has direct and indirect positive effect on core competitiveness, but only has indirect effect on the formation of competitive advantage through the two intermediary variables; knowledge capital is beneficial to the formation of organization character, however, the core competitiveness does not play a significant role in the formation of competitive advantage. Therefore, an insightful suggestion that enterprises should integrate knowledge management and character management to implement intellectual management for better pursuing sustainable development is raised.
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