Abstract:This paper makes brief reviews on the evolution of the root of the competitive advantage theory, holds that competitive advantage theory is a course from paying attention to the static matching firm inside and outside environment, firm outside environment, firm inside environment to dynamic matching firm inside and outside environment. Each kind of theory is basically correct knowledge of sustainable competitive advantage in different context. In todays turbulent environments, it is difficult for enterprises to maintain a dynamic strategic match, because the traditional resources and capacity constrains the choice of the enterprise due to their inertia. Competitive advantage results from dynamic capacities for continuously improving, innovating, and reconfiguring resources to shape new functional competencies that align with the environment.