Abstract: This paper studies a problem that is the path of the disintegration of industrial structure and the co-evolution of industrial structural advantage, by using the case study method to survey the historical developed process of a Chinese automobile fittings company—A company, which is under the background of the industrial structural disintegration and on the basis of the structural advantage theory (Jacobides, 2006). By researching the process of its development, enterprise capabilities and enterprise boundaries’ evolution, we find that the disintegrated process of industry provides opportunities to enter innovatively into this industry for a company and then the innovative entries into the industry and development of capabilities co-evolve. This process impulses the changes of organizational boundaries, and finally this company acquires its industrial advantages.