Abstract
Innovation development is the most crucial strategy for enterprises to pursue the management of sustainable development. Therefore, how to keep a competitive advantage certainly becomes the major issue of firm survival through the rapid change of external environment. Based on the perspective of Interactive Evolution from bibliography of innovation in organization, this study combined Resource-Based theory, Dynamic Capacity with Strategic Management and formed four dimensions which are external environment opportunity / risk, internal strategy options, the change of organization development, and accumulative competitive. Furthermore, this study chose equipment supplier of TFT LCD, AKT Inc., as the single case study. The result indicated that AKT effectively seized every opportunity to achieve the goal of firm growth among different period of industry environment change from the early internal venturing in 1990 to centering on the PECVD, the process equipment of TFT LCD. The interactive evolution, the before-mentioned four dimensions, consequently existed on four stages of AKT’s innovation development. The last section of this paper discussed the strategy management theory and the real meaning of strategy practice. Keywords: interactive evolution, resource-based theory, dynamic capacity, Innovation development, internal strategy options, external environment, accumulative competitive,